
Class 


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sm*h 


Book 


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PRESENTED 


BV I^O. 





UNEMPLOYMENT AND AMERICAN 
TRADE UNIONS 



BY 
D. P. SMELSER 



A DISSERTATION 

Submitted to the Board of University Studies of The Johns 

Hopkins University in conformity with the Requirements 

for the degree of Doctor of Philosophy 

1916 



BALTIMORE 

1919 




UNEMPLOYMENT AND AMERICAN 
TRADE UNIONS 



UNEMPLOYMENT AND AMERICAN 
TRADE UNIONS 



BY 
DC P. SMELSER 



A DISSERTATION 
Submitted to the Board of University Studies of The Johns 
Hopkins University in conformity with the Requirements 
\ for the degree of Doctor of Philosophy 

1916 



BALTIMORE 
1919 



ft* 



•fr* 






Copyright 19 19 by 
THE JOHNS HOPKINS PRESS 



JS19 



PRESS OF 

THE NEW ERA PRINTING COMPANY 

LANCASTER. PA. 



CONTENTS 

Page 

Preface vii 

Chapter I. Statistics of Unemployment 9 

Chapter II. The Trade Union Theory of Unemploy- 
ment 34 

Chapter III. Local Union Employment Bureaus 57 

Chapter IV. Union Agencies for the Distribution of 

Workmen 75 

Chapter V. Distribution of Employment 109 

Chapter VI. Unemployment Insurance 130 



PREFACE 

This monograph had its origin in an investigation carried 
on by the author while a member of the Economic Semi- 
nary of the Johns Hopkins University. The principal 
sources of information have been the trade-union publica- 
tions contained in the Johns Hopkins Library. Document- 
ary evidence was also supplemented by numerous personal 
interviews with trade-union officials. 

The author wishes to express his appreciation of the help- 
ful criticism and advice received from Professor J. H. Hol- 
lander and Professor G. E. Barnett. 

D. P. S. 



VI 1 



UNEMPLOYMENT AND AMERICAN TRADE 
UNIONS 



CHAPTER I 

Statistics of Unemployment 

Statistical information as to unemployment in the United 
States is less adequate and reliable than that as to almost any 
other social problem. The federal government, several of 
the States, and various other agencies have made censuses 
of the unemployed from time to time, but in the greater 
number of cases the data thus secured are of little value. 

It is obvious that for an exhaustive study of the problem 
of unemployment there must exist adequate and trustworthy 
statistical information upon which to base the investigation. 
In other words, the problem must be stated before it can 
be solved. This is especially true for a study of the methods 
which the trade unions use in meeting the problem, since 
the amount and character of the unemployment in each trade 
necessarily determine the methods which each trade union 
uses. Thus, a trade union a majority of whose members 
are unemployed during certain seasons each year would 
not be likely to provide for the payment of out-of-work 
benefits during these periods, but would attempt to estab- 
lish the policy of equal distribution of employment and en- 
courage their members to seek employment in other occupa- 
tions. On the other hand, trades in which the state of em- 
ployment varies considerably from one community to another 
would probably attempt to establish employment bureaus in 
order to transfer their members from one city to another. 

It will be the aim of this chapter to consider the sources 
of statistical information as to unemployment among organ- 

9 



10 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ized wage earners, to consider briefly the data which appear 
to be the most reliable, and to attempt to determine the rela- 
tive volume and character of unemployment in some of 
the principal trades, in order to show how different the 
problem is in the various trades and to make clear that con- 
ditions determine, to a great extent, the methods which each 
trade union employs to solve it. 

The sources of statistical information as to unemployment 
among trade unionists are the publications of the state de- 
partments of labor and of the trade unions. While refer- 
ence will be made to all the data which have been collected, 
only those data which can be more or less successfully uti- 
lized in the study will be particularly described. 

The New York Department of Labor has collected since 
March, 1897, statistics of unemployment among the trade 
unionists of that State. From 1897 to 1914 it collected semi- 
annually, from all the trade unions, information as to the 
number of members employed and unemployed on the last 
working days of March and September, the causes of such 
unemployment, the number of members idle throughout the 
first and third quarters of the year, and the number of days 
which each member worked during these periods. The 
supply of this information was made compulsory by law. 
Since December, 1901, the New York Department has 
selected certain local unions in each trade and industry from 
which it has secured monthly returns as to unemployment. 
It has attempted to select local unions which have reliable 
and intelligent secretaries, to have each trade represented 
in proportion to the number of workmen engaged in each 
class, and to maintain the same proportionate representation 
from month to month so that the data may be comparable. 

Both classes of statistics are of doubtful value. The 
secretaries of the local unions in many cases had no means 
by which they could determine the actual number employed 
and unemployed, and consequently they resorted to rough 
estimates. Further, there was a tendency to exaggerate the 
amount of unemployment in the hope that this would favor- 



STATISTICS OF UNEMPLOYMENT 



II 



ably affect public opinion. These defects were especially 
inherent in the data collected semi-annually from all unions, 
and for this reason the collection of this class of data was 
discontinued in 1914. The data relating to selected unions 
are defective in many respects, but it is thought that, while 
they are of no great value as regards the actual amount of 
unemployment, they are of considerable importance in 
making apparent the movements in the state of employment 
from month to month and from year to year. It is for this 
reason that a summary of the data thus collected is given 
below. It may be well to state that these statistics represent 
about 235 local unions with a membership of 150,000, which 
is about 25 per cent of the trade-union membership of the 
State. 

State of Employment of Organized Labor in New York State, 
as Reported by Representative Unions, 1901 to 1915 

(From Bulletins of the New York Department of Labor) 







Percentage of Members Unemployed 


jn Last Working Day of 






Jan. 


Feb. 


Mar. 


Apr. 


May 


June 


July 


Aug. 


Sept. 


Oct. 


Nov. 


Dec. 


1902 


20.9 


18.7 


17.3 


15.3 


I4.O 


14.5 


15.6 


7-1 


6-3 


II.2 


14-3 


22.2 


1903 


29-5 


17.8 


17.6 


17-3 


20.2 


23.I 


17.8 


154 


94 


11. 7 


16.4 


23.I 


1904 


25.8 


21.6 


27.I 


17.0 


15.9 


13-7 


14.8 


13-7 


12.0 


10.8 


11. 1 


I9.6 


1905 


22.5 


19.4 


19.2 


11.8 


8.3 


9.1 


8.0 


7.2 


5-9 


5.6 


6.1 


II. I 


1906 


15.0 


15-3 


II.6 


7-3 


7-0 


6.3 


7.6 


5-8 


6.3 


6.9 


7.6 


154 


1907 


21.5 


20.1 


18.3 


IO.I 


10.5 


8.1 


8-5 


12. 1 


12.3 


18.5 


22.0 


327 


1908 


36.9 


37-5 


37-5 


33-9 


32.2 


30.2 


26.8 


24.6 


24.6 


23.1 


21.5 


28.O 


1909 


29-3 


26.5 


23.0 


20.3 


I7.I 


17.4 


13-9 


11,9 


14.5 


137 


13.3 


20.6 


1910 


24.5 


22.4 


22.6 


16.0 


14-5 


15-4 


19.4 


22.3 


12.5 


15.0 


17.5 


27-3 


1911 


26.7 


24.8 


25.6 


21.3 


27.2 


22.9 


15.5 


11.7 


11.2 


11.6 


20.0 


34-2 


1912 


25.8 


17.6 


18.8 


13-3 


20.1 


22.8 


21. 1 


9.1 


5-9 


74 15-3 


30.1 


1913 


38.2 


334 


21.8 


21.7 


22.9 


22.2 


20.8 


19.6 


16.2 


19.3 


27.8 


40.0 


1914 


32.3 


30.7 


28.3 


23.6 


22.7 


25.5 


32.5 


30.3 


24-3 


24.9 


35-8 


357 


1915 


40.1 


32.2 


27.4 


26.4 


31.8 


25.5 


26.0 


19-3 


14.9 


12.7 


I7.b 


21.9 



The table clearly indicates the fluctuations in employment 
from month to month and from year to year. During 1902, 
I 9°3> and 1904 the average percentage of unemployment was 
around 13, but gradually decreased until the depression of 
1907 and 1908 when it sharply rose, gradually dropping how- 
ever after the spring of 1909. During 1910 and 191 1 the 



12 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

percentage was fairly constant, but there was a 25 per cent 
decrease in unemployment in 1912 ; for several of the months 
the percentages were lower than they had been for five 
or six years. However, after November, 191 2, the percent- 
ages, if we disregard seasonal fluctuations, gradually rose 
until the fail of 191 5. 

It will be noted that during the past seven years an aver- 
age of between 20 and 25 per cent of the workmen in the 
selected unions have been returned as unemployed on the 
last working day of each month. The minimum percentage 
for the period was 5.6 in October, 1905, while the maximum 
was 40.1 in January, 191 5. The instances in which the 
monthly percentage was under 10 number less than twenty- 
five. The seasonal fluctuations are clearly indicated in the 
table. January reports the highest percentage of the year, 
after which the percentage drops gradually to September 
and October, in which months it appears that there is less 
unemployment than at any other time. November and De- 
cember show very high percentages. 

The Massachusetts Bureau of Statistics, since March, 
1908, has collected data as to unemplyoment from trade 
unions situated in that State. This information is compar- 
able, in many respects, to that collected by the New York 
Department. In Massachusetts information as to unemploy- 
ment is secured only from those unions which desire to re- 
port their working conditions. However, the majority of 
the trade-union membership is represented in the returns. 
Thus, for the quarter ending September 30, 191 5, returns 
were made by 1052 local unions representing 175.754 organ- 
ized wage earners, or approximately 75 per cent of the 
trade-union membership of the State. 1 Monthly returns are 
not made by any of the unions, reports being made only 
for the last working days of the four quarters of the year 
by the secretaries of the local unions. The returns are 
scrutinized by the bureau's experts and if any errors are 
apparent the schedules are returned for correction. 

iThe Thirty-first Quarterly Report on Unemployment in Massa- 
chusetts: Quarter ending September 30, 1915, p. 1. 



STATISTICS OF UNEMPLOYMENT 



13 



The following table shows the percentage of members 
unemployed at the end of each quarter from March, 1908, 
to December, 191 5 : 

State of Employment of Organized Labor in Massachusetts 
(From Bulletins of the Massachusetts Bureau of Statistics) 





Percentage of Members Unemployed. 




March 31 


June 30 


September 30 


December 31 


1908 


17.9 


144 


10.6 


13-9 


1909 


II.4 


6.4 


4.8 


9.4 


1910 


7-1 


7.0 


5-6 


10.2 


1911 


IO.4 


6.6 


5-6 


9-7 


1912 


14. 1 


5-3 


47 


9.1 


1913 


n-3 


6.4 


6.8 


10.4 


1914 


12.9 


9-9 


II.O 


18.3 


1915 


16.6 


10.6 


7.0 


8.6 



Trie striking fact disclosed by these figures is their great 
disparity with the New York data. When idleness due to 
other causes than lack of work, lack of material, and the 
state of the weather has been eliminated, the averages of 
the New York and Massachusetts percentages for the last 
working days of the four quarters of the year, for the 
period 1908-1915, are 19.2 per cent and 7.5 per cent re- 
spectively. The most plausible explanation of this differ- 
ence is the larger proportion of highly seasonal workmen 
represented in the New York data. In the reports for June 
30, 191 5, for example, the building trades represent more 
than 25 per cent of the workmen included in the New York 
report, 2 while in the Massachusetts figures for that date 
the returns for the building trades constitute less than 20 
per cent of the total figures. 3 But what appear to be of 
even greater importance are the different proportions of 
the totals represented by garment workers. In the returns 
for June, 191 5, the garment workers constituted 21 per cent 



2 Idleness of Organized Wage Earners in the First-half of 1915, 
Bulletin of the New York Department of Labor, whole no. 73, p. 11. 

3 Calculated from table in Thirteenth Quarterly Report on Unem- 
ployment in Massachusetts, June 30, 191 5, p. 11. 



14 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

of those included in the New York returns, 4 while in the 
Massachusetts data for that date this class of workmen 
formed less than 3 per cent of the members reporting. 5 
Unemployment in the building trades and in the garment 
industry of New York is twice as great as the average in 
other trades taken together. Thus, the average of the 
monthly percentages of unemployment in the building trades 
from 1907 to 1 914 in New York was 29, and that for the 
garment industry was approximately the same, while the 
average of all industries was only 22 per cent. When it is 
remembered that the average of all industries is weighted 
in proportion to the relative representation of trades, and 
that the garment workers and building trades mechanics 
constitute more than 50 per cent of the total, the effect of 
the great amount of unemployment in these two industries 
upon the average percentage is easily seen. 

The New Hampshire Bureau of Labor is the only other 
state bureau which has collected statistics of unemployment 
among organized wage earners, and these statistics are prac- 
tically valueless as they give only the percentages of mem- 
bers unemployed throughout the first and second quarters 
of 191 5. It seems that the secretaries of the local unions, 
in most cases, were unable to accurately report such infor- 
mation. 

A number of the American trade unions have attempted 
to collect statistics of unemployment of their members. 
Generally these attempts have failed, either because the sec- 
retaries of the local unions refused to report conditions 
accurately, or because the secretary of the national union 
failed to recognize the importance of the statistical infor- 
mation as to unemployment. The unions have the oppor- 
tunity of collecting such material at small expense. In all 
unions the secretaries of the subordinate branches make 
monthly reports to headquarters concerning various sub- 

4 Bulletin of the New York Department of Labor, whole no. 73, 
p. 11. 

5 Calculated from table in Thirteenth Quarterly Report on Unem- 
ployment in Massachusetts, June 30, 1915, p. 11. 



STATISTICS OF UNEMPLOYMENT 1 5 

jects, and where statistical information as to unemployment 
has been collected these monthly reports have generally been 
utilized for this purpose. 

The American Federation of Labor collected from 1899 
to 1908 data relating to unemployment among members of 
its affiliated unions. The number of workmen represented 
in the returns varied as much as 800 per cent from one 
month to another in the same year, and as the reports were 
made by the secretaries of the national unions it is obvious 
that the data secured were not accurate. For this reason 
the collection of this information was discontinued in 1909. 

The Wisconsin State Federation of Labor has collected 
statistics of unemployment from its affiliated unions since 
1912. The information collected in 1912 was worthless 
and that for the two succeeding years was far from satis- 
factory. In 1913 the affiliated unions were requested to 
report the percentages of members unemployed on Septem- 
ber 1. Returns were made by 243 local unions with a 
total membership of 19,921. Of these, 1436 members, or 
J. 2 per cent, were reported as idle. 6 This percentage is but 
four- tenths of one per cent higher than that of Massachu- 
setts for September 30 of the same year, while it is 12.8 
lower than the New York percentage for August 31. 

A few unions have realized the benefits accruing from the 
collection of statistical information as to unemployment and 
have accordingly provided in their constitutions that the 
local union secretaries shall report the state of employment 
at specified periods. For example, the Potters, 7 Plumbers, 8 
Boilermakers, 9 Iron Molders, 10 Lithographers, 11 Elevator 
Constructors, 12 and Metal Polishers 13 require the secre- 

< 6 Labor Conditions in Wisconsin : Second Report by the Execu- 
tive Board of the Wisconsin State Federation of Labor, July 1, 
1914, p. 15. 

7 Constitution, 1913, sec. 132. 

8 Constitution, 1913, sec. 36. 

9 Constitution for Local Unions, 1914, art. 2, sec. 6. 

10 Constitution, 1912, art. 5, sec. 1. 

11 Constitution for Local Unions, 1913, art. 5, sec. 1. 

12 Constitution, 1910, art. 6, sec. 3. 

13 Constitution, 1913, art. 32, sec. 1. 



16 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

taries of their subordinate unions to report either monthly 
or quarterly the number of members employed and unem- 
ployed. But little attention is paid by the secretaries to 
these provisions, and in the unions where the information 
is reported it is neither used by the general secretaries nor 
compiled for publication. 

The Painters, Paperhangers, and Decorators at their con- 
vention in 1913 provided that an official "time book" should 
be issued to each member of the union, who was to record 
in it all time lost through unemployment and the causes of 
such idleness, and report quarterly to his local union. The 
secretaries of the subordinate branches were instructed to 
compile these reports and send them to the national union. 14 
It was thought that much valuable information could thus 
be secured. Considerable light would have been thrown 
upon the question of variation in unemployment among 
localities. However, it was found impossible to secure the 
desired information from the members except through a 
system of fines, which, of course, would have had a tendency 
to produce inaccurate statistics. Consequently, these time 
books are used in only a few unions. 15 It is understood 
that the Chicago local union has collected statistics of unem- 
ployment from its members for five or six years. It was 
reported at the convention in 191 3 that the data collected 
in the two previous years indicated that the average painter 
lost ninety-eight working days each year through inability 
to secure work. 16 

The Glass Bottle Blowers have collected and privately 
published statistical information as to unemployment among 
its members for several years. But in consequence of the 
fact that no distinction is made between the members totally 
unemployed and those working as " spare men " this infor- 
mation is of little value. There is also available in the 
monthly journals of the Wood Carvers data as to the num- 
ber of members employed and unemployed on the last 

14 Constitution, 1913, sec. 238. 

15 Interview with General Secretary Skemp, August, 191 5. 

16 Proceedings, 1913, p. 635. 



STATISTICS OF UNEMPLOYMENT 1 7 

working day of the month. Percentages of unemployment 
have been calculated for the period 1909-1915, and there is 
little fluctuation in them from month to month and from 
year to year, the rate of unemployment ranging between 
twenty and twenty-five per cent. This would seem to indi- 
cate that the returns are not accurate but mere estimates of 
the secretaries. 

The only statistics of unemployment collected by the trade 
unions which it was possible to utilize in this study are the 
data collected by the Bricklayers, Masons and Plasterers 
from 1882 to 191 1, by the Pattern Makers from April, 1907, 
to December, 1916, and by the Flint Glass Workers from 
1907 to 1915. 

In view of the fact that so little attention has been given 
to the collection of data as to unemployment in the United 
States before 1900, it is rather surprising to find that the 
Bricklayers' Union, organized in 1865, collected semi- 
annually statistics of unemployment from 1882 to 191 1 and 
monthly thereafter. 17 These statistics are based upon the 
reports by the local secretaries of the number of members 
employed and unemployed. Not all of the unions reported, 
as some were always in a state of disorganization or were 
involved in labor disputes ; but the reports are fairly repre- 
sentative of the entire membership, and the average per- 
centage of the membership included in the data for the 
period 1882-1911 is 79.1. There is no reason to believe that 
those unions which are not represented in the returns, ex- 
cept the few on strike, had more or less unemployment than 
the average of those reporting. The returns unfortunately 
include members who were reported as unemployed on ac- 
count of labor disputes and illness. Of course the inclusion 
of these members has produced high percentages of unem- 
ployment. 

Another important question is whether the secretaries 
correctly reported the number of the unemployed. Secre- 

17 The data collected since 191 1 have not been compiled, the secre- 
tary merely using the information. (Interview with Secretary Dob- 
son, August, 1915.) 



18 



UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



taries of unions having less than fifty members could easily 
determine the number of unemployed, since they generally 
knew the places where members were at work ; but in unions 
with a larger membership — many of the local unions have 
from ioo to 7000 members — the secretaries were unable to 
make exact returns from their own knowledge. In such 
cases the secretaries either based their returns upon rough 
estimates or upon the reports of the stewards. It is impos- 
sible to determine the extent to which the stewards' reports 
were used. It would not have been difficult to ascertain the 
exact number of members employed on a given day if these 
reports had been used, because each week the stewards on 
the various jobs reported the names of all members work- 
ing on particular days. The reports are supposed to give 
the number of members employed and unemployed on the 
last working days of June and December; but it is under- 
stood that frequently the returns were based upon the con- 
dition of trade slightly before and after these dates. These 
data are presented in the following table, principally because 
they represent the only continuous record respecting unem- 
ployment in the United States before 1897. 



Unemployment of Members of the Bricklayers, Masons and 

Plasterers 



(From Semi-Annual Reports of the General Secretary) 




Percentage of Members 




Percentage of Members 


Year 


Unemployed 


Year 


Unemployed 




June December 


June 


December 


1882 


IO.O 


20.2 


1897 


41.4 


51.7 


1883 


4.6 


26.4 


1898 


38.8 


47.6 


1884 


II. I 


48.6 


1899 


18.2 


31.2 


1885 


20.5 


33-6 


1900 


29.8 


34-7 


1886 


I5-I 


36.7 


I90I 


8.8 


20.9 


1887 


6.0 


37-i 


1902 


10.5 


23.8 


1888 


15-2 


37-3 


1903 


H-5 


45-8 


1889 


13.3 


34-i 


1904 


14.2 


36.9 


1890 


12.5 


37-1 


1905 


10.5 


23.4 


1891 


24.8 


37-2 


I906 


11.7 


24.O 


1892 


18.7 


37-6 


I907 


16.4 


51-2 


1893 


22.2 


677 


1908 


42.2 


48.8 


1894 


49.6 


54-6 


1909 


17.2 


30.1 


1895 


28.1 


43-2 


1910 


12.8 


30.2 


1896 


33-3 


55-9 


I9II 


26.3 



STATISTICS OF UNEMPLOYMENT 1 9 

As was to be expected, the figures show great differences 
in unemployment between summer and winter. Every one 
realizes that there is, on the whole, less work for bricklay- 
ers in December than in June; but few realize how great 
the difference is. December 31 and June 30 may be taken 
as dates representative of the poor and good seasons of 
employment in the building industry. It is to be noted 
that, without exception, in the period 1882-1911 unemploy- 
ment was greater in December than in June of any one 
year. The mean of the December figures is 3747 per cent, 
while the mean of the June figures is only 19.84 per cent. 
By taking the average of the percentages for the two sea- 
sons over a period of thirty years the effects of special cir- 
cumstances, cyclical fluctuations, and general changes of 
level may be eliminated or made inappreciable, and the sea- 
sonal fluctuation alone is seen. The table also discloses a 
remarkable series of waves of good and bad employment. 
The average unemployment for the four minima, 1882, 
1883, 1901, 1905, is 15.6 per cent or one-third of the 
maximum. It would be interesting, if the statistics of a 
sufficient number of years were available, to compare this 
range with the fluctuations in other trades. Beveridge has 
shown that in England those trades which are most regu- 
larly affected by seasonal movement from month to month 
are those least affected by a cyclical fluctuation from year 
to year. 18 From an examination of the existing statistics 
in the United States it appears that this does not hold true 
in this country. 

The Flint Glass Workers have collected quarterly statis- 
tics of unemployment since 1907, but the data are frag- 
mentary from 1907 to 1912. In 1913 the union also in- 
cluded in its inquiry questions as to the number of members 
who were unemployed at the trade, but who had secured 
temporary employment in other lines of industry. Accord- 
ingly, the local unions were requested to report the number 
of members employed at the trade, the number holding hon- 

18 W. H. Beveridge, Unemployment : A Problem of Industry, 1909, 
p. 40. 



20 



UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



orary membership, disabled, and working outside the trade, 
and the number of those who were willing and able to work 
but had not found employment of any kind. 

The following table shows the data thus collected : 



Unemployment of Members of the Flint Glass Workers Union 
(From Quarterly Reports of the Secretary) 





Percentage of Members 




Employed 
at Trade 


Employed 
Outside Trade 


Unemployed 


IQ07 Ausr. ^1 


80 
82 
80 
87 
87 
84 

87 
85 
87 
87 
80 
90 

91 
90 

86 
87 
87 
84 
74 
76 
76 
81 
80 
85 


6 
8 

7 
6 
8 
9 
13 
10 

7 
8 

9 


20 


Nov. 30 


18 


1908 Feb. 28 


20 


1909 Feb 28 


13 
13 
16 


1910 Feb. 28 


May 'U 


191 1 Feb. 28 


13 
15 
13 
13 
20 


May ^1 


1912 Feb. 28 


May %i 


Aug. 31 


Nov. 30 


10 


1913 Feb. 28 


9 
4 
6 


May ^i 


Aug:. 31 


Nov. 30 

1914 Feb. 28 


6 

7 
8 


May 31 


Aug. 31 

Nov. 30 


17 
11 


1915 Feb. 28 


14 
12 


May 11 


Aug. "*i 


12 


It 6 ° 

Nov. 30 


6 



The percentage of the members employed at the trade, 
it will be noted, varied from 74 on August 31, 1914, to 91 
on February 28, 191 3. The means for the four quarters 
for the period 1912-1915 were 83, 84, 78 and 81 per cent. 
It appears that the state of employment is, on the average, 
practically the same in all four quarters. Since 1913 of 
those not employed at the trade on the average 8.2 per cent 
were employed outside the trade, while 9.1 per cent were 
returned as unemployed. 

The fact that many workmen secure subsidiary employ- 



STATISTICS OF UNEMPLOYMENT 21 

ment when they are unable to secure employment at their 
principal occupations is a factor that has frequently been 
overlooked in discussions of unemployment statistics. The 
fact that the unions in a particular trade report that 30 per 
cent of their members were unemployed on a certain day 
should not be construed to indicate that 30 per cent of their 
members were not working, but that 30 per cent were not 
engaged at their principal occupation. This defect in trade 
union statistics of unemployment is due to the fact that the 
secretary of a local union estimates the percentages of un- 
employment with the idea that the information which is 
most desirable is that relating to the number of members 
who are unable to secure employment under the jurisdiction 
of the union. 

Statistical information as to unemployment among the 
members of the Pattern Makers' Union is available for each 
month since April, 1907. These data have been secured 
from the reports of the local union secretaries to the na- 
tional president who compiles the statistics for private use 
and for publication. 19 The secretaries are instructed to 
" give the exact number of members unemployed at the end 
of the month" 20 and the membership of the local unions. 
These statistics are, of course, open to the same criticism 
as those of the New York Department of Labor and Massa- 
chusetts Bureau of Labor, but they are greatly superior to 
the statistics collected by trade unions that have heretofore 
been considered. In January, 191 5, forty of the sixty-five 
local unions of the Pattern Makers had less than fifty mem- 
bers each. 21 As was stated above, the secretaries of local 
unions with few members are able to determine the number 
of unemployed from personal knowledge. Moreover, sev- 
eral of the larger unions, two of which comprise over 20 
per cent of the entire membership, pay out-of-work bene- 

19 The writer wishes to express his appreciation of the kindness 
of President Wilson of the Pattern Makers in placing at his dis- 
posal the reports from which these data have been obtained. 

20 Monthly Financial Statement and Trade and Statistical Report, 
December, 1914, p. 2. 

21 Ibid., January, 1915, pp. 6, 7. 



22 



UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



fits, 22 and all of the local unions furnish out-of-work stamps 
free to the unemployed, 23 so that their secretaries, unlike 
those of most unions, have the opportunity of ascertaining 
the exact number of unemployed members with but little 
difficulty. The president of the union, too, takes great in- 
terest in the returns and where a local union attempts to 
conceal a good condition of trade by the return of an exag- 
gerated number of unemployed, does not hesitate to correct 
the error. However, President Wilson states that, although 
the greater number of unions make fairly accurate returns, 
some associations overestimate the number of unemployed 
for the purpose of deterring the traveling members from 
transferring to them. Thus, in January, 191 5, he pointed 
out that " one association this month reports that 20 per 
cent of its members are out of work while the truth is that 
all of its members are employed, and another union reports 
just about three times as many as are really idle/' 24 As 
with the other data as to unemployment in trade unions, 
these figures include those unemployed from all causes. 25 

The following table shows the percentages of unemploy- 
ment in the Pattern Makers' Union for the last working day 
of each month from April, 1907, to December, 1916: 



Unemployment of Members of the Pattern Makers' Union 
(From Reports at the Union Headquarters) 





Percentage of Membership Unemployed on Last Working Day 


Year 


Jan. 


Feb. j Mar.! Apr. 


May June 


July Aug. 


Sept. J Oct. j Nov. 


Dec. Mean 


1907 




: 3-8 5-5 4-9 


4.9 6.8 9-8, 12.5 20.6I 29.3 10.9 


I9C8 


28.629.428.I 22.6|27.I 26.425.6 23.7 22.5' 21.7 17. 1 16.7J 24.I 


1909 


I5-3I4.I 


10,2 12.IJII.8 10.6! 8.2 7.3 6.51 6.0 6.2 


5-6| 9-5 


1910 


4.8 


3-9 


5-5 4-3 4-4 5.i| 5o: 7-8 8.1 11. 1 10.6 


H-3 


6.8 


I9II 


10.5 


8.1 


7.6; 7.6 


9.3 6.9 7.2 8.2 8.1; 10. 1 10. 1 


9-i 


8.6 


1912 


7-4 


6.3 


6.5! 5-2 


5.0 4.9 4.6 4.5! 4.31 3.8 3.8 


4-8 


5-1 


1913 


4.6 


3-8 


3-9l 4-2 


6.2 7.4; 9.3 11.4 11.8 12.9: 15.1 


16.6 


8.9 


1914 


14.0 


12.5 


11.9 11.3 


11.613.1:12.8 15.6 20.3 23.8-23.9 


19.9 


15-9 


1915 


20.4 


16.5 


I4-9I3-I 


11.8 10.9 8.3 7.8 8.3^ 7.0 5.7 


5-7 


10.9 


I916 


5-8 


6.8 


6.31 6.6 


6.5 5.6! 6.0 6.6 7.1, 5.9: 4.7 


3-9 


5-2 



22 See p. 144. 

23 See p. 145. 

24 Monthly Financial Statement and Trade and Statistical Report, 
January, 1915, p. 2. 

25 In 1916 an average of 16.8 per cent of the members reported as 
unemployed were on strike. 



STATISTICS OF UNEMPLOYMENT 23 

It will be noted that the percentages are considerably- 
lower than those of the other unions so far noted. In 
normal years the percentage of unemployment is between 
five and eight, but these figures are doubled in periods of 
industrial depression. The striking fact about the data of 
the Pattern Makers is the relative constancy of the figures 
from month to month ; that is to say, the percentages show 
no sudden fluctuations from' one month to the next as the 
unemployment statistics of a single trade generally do, but 
either rise or fall gradually during the periods of depression 
and prosperity. Thus, in 191 5 the percentage was 20.4 in 
January and only 5.7 in December, but the percentages for 
the intervening months decreased gradually. The same 
slow movement of the percentage of unemployment oc- 
curred in 1907 when there was a gradual increase from 3.8 
in April to 29.3 in December. This regularity in the re- 
turns probably indicates that the secretaries were more care- 
ful than in other unions to note slight fluctuations. 

One of the most important conclusions to be drawn from 
the statistics of unemployment relates to the very great 
differences in the amount of unemployment among locali- 
ties. The dominant industries of any two States are rarely 
the same, or even if the same, the proportions of workmen 
employed in the various industries are generally different. 
It is certainly true, for example, that the chief occupations 
of the workmen included in the Massachusetts returns are 
not identical with those of the workmen represented in the 
New York data. Even where the industries are the same 
in two States certain local peculiarities may affect the sea- 
sonal fluctuations and produce more unemployment in one 
state than in another. 

The differences in unemployment among various States 
is illustrated by a comparison of the monthly fluctuations in 
the number of persons employed in manufactures. The 
census of manufacturers of 1909 shows that in ten States the 
minimum number of wage earners reported for any month 
in the year represented over 90 per cent of the maximum 



24 



UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



number. In thirteen States the proportion was less than 
80.0 per cent. The largest difference between the maxi- 
mum and the minimum numbers employed is shown for 
Idaho, where the percentage was 63.3. This was due chiefly 
to the seasonal variations in the lumber industry which gave 
employment to more people than any other industry. In 
New Hampshire and Vermont, on the other hand, where 
the fluctuations in the various industries largely balance one 
another, the minimum numbers of wage earners reported 
were 94.3 and 93.3 per cent respectively, of the maximum 
numbers. 28 

The following table shows the relative fluctuations in un- 
employment in New York and Massachusetts. The per- 
centage of fluctuation is calculated upon the base of the 
greatest number employed in any one month of the year : 



Monthly Fluctuations of Employment in the Industries of 
New York and Massachusetts, 1909 

(From the Thirteenth Census of the United States, 1910, vol. viii; 
Manufactures, p. 282) 



Jan. 



Feb. Mar. 



Apr. 



May 



June 



July 



Aug. Sept 



Oct. Nov. 



Dec. 



Mean 

6.02 
5.0I 



New York 
Mass 



10.1 
7.6 



8.7 
6.6 



6.8 

54 



6.9 

5-8 



7.5 
5-9 



7.8 
6.0 



8.1 
6-5 



2.1 



6.1 

5-2 2.9 



1.8 



0.4 
1.4 



1.7 



The table shows that not only was there a greater fluctua- 
tion between the best and worst months of employment in 
New York than in Massachusetts, but that in New York 
the average of the other eleven months was 6.02 per cent 
less than in the busiest month, October, while in Massachu- 
setts the average was only 5.01 per cent less than in De- 
cember, the busiest month. In eight of the eleven months 
the percentage of fluctuation was over six in New York, 
while in Massachusetts the percentage was six or over in 
only four months. 

Not only are the fluctuations in employment in the indus- 
tries of two States taken as a whole often quite different, 



Thirteenth Census, 1910, vol. viii, p. 282. 



STATISTICS OF UNEMPLOYMENT 25 

but it frequently happens that the seasonal fluctuations in 
the same industry are different in two States. This arises 
chiefly out of climatic conditions although various local pe- 
culiarities play a large part. Thus, when the state of em- 
ployment in the building trades of New York City is poor, 
Philadelphia may be erecting a number of large buildings 
and may need additional workmen. Indeed it may be said 
that the state of employment in certain trades is affected 
more by purely local variations than by seasonal and cyclical 
fluctuations. It will occasionally happen that in a particu- 
lar city more building will be done during the winter than 
was done in the preceding summer. Even taking the labor 
market as a whole, the state of employment varies as much 
from one city to another as it does from one season to an- 
other. This fact is shown by the reports of the Massachu- 
setts Bureau of Statistics on the state of employment in the 
various cities of the State. In March, 191 5, for example, 
the percentage of unemployment for the entire State was 
16.6; in Boston, it was 13.9, in Brockton, 27.6, in Holyoke, 
25.2, in Lowell, 7.4, while in Quincy and Taunton it was 
only 4.1 and 4.7, respectively. 27 Thus, there was a total 
range of 23.5 from one city to another in the same State. 
The reports of the New York Department of Labor show 
that the state of employment is generally far worse in New 
York City than in other parts of the State. 

The difference in the amount of unemployment among 
cities is illustrated by the statistics of "traveling" among 
trade unionists. Workmen do not move from one city to 
another because the general state of employment in their 
trade is poor, but because it is poor in the particular com- 
munity in which they reside. It is true that some twenty 
years ago trade unionists traveled needlessly from one local 
union to another, but in consequence of the change in the 
attitude of the unions, the members are notified of the con- 
dition of trade in contiguous cities before they move, and 
if it appears to the secretary or business agent that the 

27 Twenty-ninth Quarterly Report on Unemployment in Massa- 
chusetts, March 31, 1915, p. 4. 



26 



UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



Unemployment and Traveling in the Pattern Makers' Union 




1909 



1910 



1911 



1912 



1913 



January. . , 
February. . 
March 

April 

May 

June 

July 

August . . . 
September . 
October . . . 
November . 
December . 
January . . . 
February. . 
March 

April 

May 

June 

July 

August . . . 
September . 
October . . . 
November . 
December . 
January . . 
February. . 
March 

April 

May 

June 

July 

August . . . 
September , 
October . . . 
November . 
December . 
January . . 
February. , 

March 

April. 

May 

June 

July 

August . . . 
September 
October. . . 
November . 
December . 
January. . 
February . 





Number 


Percentage 


of Members 


Unemployed 


per 1,000 




Transferred 


15.3 


O 


14. 1 


15 


10.2 


12 


I2.I 


17 


11.8 


17 


10.6 


16 


8.2 


22 


7.3 


24 


6.5 


25 


6.0 


28 


6.2 


26 


5.6 


15 


4.8 


22 


3.9 


18 


5-5 


19 


4-3 


26 


4.4 


33 


5-i 


29 


5.5 


26 


7.8 


28 


8.1 


22 


11. 1 


21 


10.6 


15 


11.3 


16 


10.5 


15 


8.1 


11 


7-6 


19 


7-6 


21 


93 


23 


6.9 


19 


7.2 


20 


8.2 


19 


8.1 


23 


10. 1 


36 


IO.I 


18 


9.1 


12 


7-4 


13 


6-3 


20 


6.5 


18 


5-2 


21 


5.o 


23 


4-9 


24 


4.6 


3i 


4-5 


27 


4-3 


33 


3-8 


23 


3-8 


17 


4.8 


22 


46 


22 


3.8 


19 



STATISTICS OF UNEMPLOYMENT 



27 



Unemployment and Traveling in the Pattern Makers' Union 
(Continued) 



Year 



Month 



Percentage 
Unemployed 



Number 
of Members 

per 1,000 
Transferred 



1913 



1914 



1915 



March 

April 

May 

June 

July 

August . . . 
September , 
October . . . 
November . 
December . 
January. . 
February . . 
March 

April 

May 

June 

July 

August . . . 
September . 
October . . . 
November . 
December . 
January. . . 
February . . 
March .... 

April 

May 

June 

July 

August 
September . 
October. . . 
November . 
December . 



3-9 

4.2 

6.2 

74 

93 

11.4 

11.8 

12.9 

i5-i 
16.6 
14.0 

12.5 
11.9 

II.3 

11.6 

13.1 
12.8 

15.6 
20.3 
23.8 
23.9 
19.9 
20.4 
16.5 
14.9 

13.1 
11.8 
10.9 
8-3 
7.8 
8.3 
7.0 

57 
5-7 



23 
25 
21 

23 
18 

19 

13 
12 
11 
10 
17 
13 
10 
16 
12 

13 
10 

7 
8 

9 
8 
10 
10 
12 
13 
17 
13 
21 

17 
16 
20 

18 



member would not be bettering his chances of employment 
by transferring his residence, the workman is informed of 
the fact. The trade unionists, as will be shown in a later 
chapter, are relying more and more upon their unions to 
notify them of employment in other cities and consequently 
the movement that occurs at the present time is largely due 
to differences in the demand for labor in various cities. It 
has frequently been asserted in periods of depression that 



28 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

the poor condition of trade forced many workmen to move 
from one city to another, but the contrary is true. This is 
clearly brought out by comparing the percentage of unem- 
ployment and the number of transfers issued per one thou- 
sand members in the Pattern Makers' Union, as shown in 
the table on pages 26 and 27. 

The coefficient of correlation between the number unem- 
ployed and the number transferred is — .70. In other words, 
the percentage of unemployment varies inversely with the 
percentage of transfers issued. As unemployment in- 
creases, the number of workmen transferring from one city 
to another decreases, and vice versa. The percentage of 
transfers is governed by the fluctuations of employment be- 
tween individual labor markets. 

From the statistics of unemployment we are also able to 
make certain deductions as to the relative volume and char- 
acter of unemployment in some of the principal trades. 
Cyclical fluctuations occur with some degree of regularity, 
the movement covering a period of four or five years. 
Thus, 1896, 1900, 1904, and 1908 were years in which the 
percentage of unemployment reached very high marks. 
These cyclical fluctuations affect all trades and industries. 
It appears that a depression generally causes an increase at 
the high point of 50 per cent over the number normally 
idle. Thus, in Massachusetts it appears that there was, on 
the average, 61 per cent more unemployment in 1908 and 
1904 than in the intervening years while in New York 
there was, on the average, 50 per cent more unemployment 
in 1908 and 191 4 than the average of the intervening years. 
The number unemployed does not register the full effect 
of a depression since short-time is more common in such 
periods. The amount of the weekly pay-roll would be a 
better measure, but the data are not obtainable. Industrial 
depressions affect the various trades in different degree. 
For instance, a period of depression causes an increase of 
100 per cent in the number of unemployed in the building 
trades, while it causes increases of only 30 per cent in the 



STATISTICS OF UNEMPLOYMENT 29 

garment industry, 40 per cent in food and liquors, and prac- 
tically none in some other trades and in public employment. 

There are two methods by which the trade unions can 
alleviate the consequences of unemployment due to cyclical 
fluctuations: (1) distribution of employment and (2) un- 
employment insurance. It is obvious that the unions can 
of themselves do nothing to regularize industry. In pe- 
riods of depression, their employment bureaus cannot have 
any great value, nor can they place their members in other 
occupations, because industries are generally affected. Equal 
distribution of employment and unemployment insurance 
appear to be the only means of meeting cyclical fluctuations. 
But, as will be pointed out in a later chapter, various forces 
operate against the establishment of the system of equal 
distribution of employment. Thus, in transportation and 
printing where a period of depression throws out of em- 
ployment only about four per cent of the workmen, this 
number is not large enough to cause the unions to ask for 
an equal distribution of the work. The system is most used 
in those trades where the cyclical and seasonal fluctuations 
are the most violent. In the building trades, however, 
where the workmen change frequently from one employer 
to another, this method can be utilized only with great 
difficulty. 

The most noticeable characteristic of the statistics is the 
wide fluctuation in the percentages of unemployment from 
month to month. In the New York data, which constitutes 
the only statistical information as to unemployment from 
month to month in all trades, the percentages for all trades 
taken together gradually dropped from January, the dullest 
month in the year, to September and October, and rose 
again in November and December. The good and bad sea- 
sons vary from one trade to another. Thus, the winter 
months furnish less employment in building trades and 
transportation, but more employment in clothing, textiles, 
boots and shoes, theatres and music. The differences among 
the various trades of the same industry are equally as im- 



30 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

portant. For instance, in the garment industry, the dull 
seasons in dresses and waists coincide with the periods of 
fairly intense activity in the manufacture of petticoats. 
While the seasons of activity and dullness may be in gen- 
eral the same in some of the various industries, the duration 
and the intensity of the unemployment may be different. In 
the clothing industry the seasonal fluctuations are the great- 
est, for in some of its trades there is an almost complete 
stagnation in the dull season. On the average, it may be 
said that the dull season affects 80 per cent of the workmen 
in the clothing industry. In the building trades the fluc- 
tuations due to weather conditions mean the idleness of 20 
per cent of the workmen in addition to the number normally 
idle. In metals and machinery and printing, the seasonal 
fluctuations are less, amounting to but three or four per 
cent of the workmen. In the brewing industry the seasonal 
fluctuations mean the employment of all workers on half 
time, while in theatres about 75 per cent of the workmen 
are unemployed during the summer months. 

There are two chief remedies recommended for seasonal 
fluctuations: (1) the regularization of industry and (2) the 
dovetailing of occupations. While it is true that the trade 
unions could facilitate the regularization of industry by 
lowering their minimum rates in the dull seasons, there are 
certain considerations which make this solution undesirable 
to them. Moreover, this solution can only be achieved by 
cooperation with the employers. 

The second remedy, the dovetailing of trades, has greater 
possibilities, although the trade unions have given it little 
attention. In a later chapter, it will be pointed out that 
only a few of the unions have provided for a free inter- 
change of union cards. It was noted, however, in our ex- 
amination of the statistics of the Flint Glass Workers union, 
that nearly one-half of those not engaged at their principal 
occupations were employed at other work. In this prob- 
lem, as in others, the volume and character of the unem- 
ployment determine to a great extent the appropriate rem- 



STATISTICS OF UNEMPLOYMENT 3 1 

edy. It is obvious that the amount of dovetailing will be 
greatest in those trades where the slack seasons are most 
pronounced. The flint glass workers, the theatrical stage 
employees, and the glass bottle blowers, who realize that 
they will be unable to secure any employment at their main 
occupation during the dull seasons, look to other industries 
for employment to tide them over the slack period. On 
the other hand, where the fluctuations are less pronounced, 
and there is a greater chance for continued employment in 
the trade through the slack season, the workmen are reluc- 
tant to enter other industries and perform work which is 
more irksome for lower wages. This explains in great 
part why the longshoremen rarely enter other fields of em- 
ployment even for short periods ; there is always the chance 
that they can secure some work along the wharves. 

In another group of trades, workmen are unable to dove- 
tail occupations because there are no opportunities. The 
coal miners have no means of supplementing their earnings 
in dull seasons, and charity workers will testify to the fact 
that clothing workers are usually unable to secure work at 
other than the needle trades. Skilled workmen are re- 
luctant to do unskilled work for fear that they will in some 
way destroy the knack of doing skilled work; it is only in 
a small number of cases that building trades workers secure 
employment in other occupations with somewhat lower 
wages. Thus, the extent to which resort is had to sub- 
sidiary occupations varies from trade to trade. In trades 
where the seasonal fluctuations are more pronounced, a con- 
siderable part of the number not employed at the trade are 
employed in some other occupation. In the highly skilled 
trades and in trades where the fluctuations are not very 
acute, the number is very much less. 

The consequence of seasonal unemployment to the indi- 
vidual workmen may be alleviated by unemployment insur- 
ance, by relatively higher wages during employment, and by 
distribution of employment. 

It has been noted that the periods of seasonal fluctuations 



32 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

in many trades are well denned, and the workmen expect to 
be unemployed for a certain length of time each season. 
Unemployment insurance, in such cases, is not necessary 
unless the workmen have not the will to provide for these 
periods of idleness. It will be noted later that the Cigar 
Makers do not provide for the payment of out-of-work 
benefits during the seasonal periods of slackness. 

It is a well recognized fact that wages are higher in 
trades which are affected by pronounced seasonal fluctua- 
tions than in trades embracing the same class of workmen 
but with greater regularity of employment. Thus, the 
hourly wages of bricklayers are considerably higher than the 
wages of carpenters; but the statistics of the New York 
Department of Labor show that the average yearly earnings 
in the two trades are about the same. Cabinet makers re- 
ceive lower wages than carpenters partly, if not entirely, 
because they have more regular employment. The rela- 
tively high daily wages of members of building-trades 
unions are frequently used to indicate high yearly earnings, 
yet it is found that the latter are but little more than those 
in metals and machinery and slightly lower than in printing, 
where regular employment produces high yearly earnings 
although the daily wage is relatively low. 

In a later chapter it will be shown that the unions depend 
chiefly upon the distribution of employment in meeting 
seasonal fluctuations, and that the volume and character of 
the unemployment play a considerable part in determining 
whether or not this method is available. 

Apart from seasonal and cyclical unemployment there is 
a considerable amount of unemployment in certain trades 
which is due to the maladjustment of the labor supply 
among different localities. Against this form of unemploy- 
ment, the unions have provided by the transfer of their 
members from one city to another. These methods are 
generally better established in trades where the local fluctua- 
tions are the greatest. 

Finally, there is the form of unemployment which is 



STATISTICS OF UNEMPLOYMENT 33 

present at all times, caused either by a chronic oversupply of 
workmen in the trade or by the fact that workmen are 
sometimes forced to change their employers. The former 
cause is of importance only in those trades where the work 
is extremely casual as in the case' of longshoremen. In this 
connection the unions have done little; indeed Barnes 28 
points out that the unions of longshoremen in New York 
City have repeatedly refused the offers of the employers 
to place a certain number of the men on weekly wages. 

The second form of unemployment, that due to the chang- 
ing of employers, is of great importance in some trades, 
while in others it is not a serious problem. More time is 
lost in this manner in the building trades than in any other 
industry. The average building-trades worker secures em- 
ployment on several jobs and under several employers dur- 
ing a season. Inasmuch as the periods of unemployment 
in such cases are generally short, unemployment insurance 
is of little value. The most important need is for employ- 
ment bureaus. In a later chapter it will be noted that the 
unions have developed these agencies in proportion to the 
relative volume of such unemployment in their trades. 
Thus, in the building trades where the problem is the 
greatest, the office of business agent has been established. 
In other trades, as, for instance, the glass industry, where 
the problem is far less acute, the unions have done very 
little. 

28 Charles B. Barnes, The Longshoremen, pp. 74, 79, 102. 



CHAPTER II 
The Trade Union Theory of Unemployment 

The American unions have adopted certain policies which 
have as their object a solution of the problem of unem- 
ployment. Some of these policies are based on fallacious 
reasoning, while others would produce a partial solution if 
the unions were able to exercise jurisdiction over a greater 
proportion of the working population than they now control. 
No one realizes the inadequacy of present policies better 
than the trade unionists, and they also realize that without 
the aid of the government, of the employers, and of the 
general public, they cannot deal successfully with the prob- 
lem. As one trade-union official has said: "Of all the 
problems facing trade-union officials that of unemployment 
is the most difficult to handle." 1 

There are numerous union rules, regulations, customs, and 
policies which bear some relation to unemployment, but only 
those which show the union theory of unemployment will be 
considered here. Inasmuch as this theory has been de- 
veloped from two main ideas, the regulation of the number 
of workmen among whom the employment is to be divided, 
and the increasing of the total amount of employment, the 
policies which have been chosen for discussion may be con- 
veniently classified under these two heads. 

Unions generally regard the amount of work which is to 
be done as a fixed quantity. Their chief concern, there- 
fore, is the number of workmen among whom the employ- 
ment is to be divided. The problem of unemployment 
would be, in great measure, solved, in their opinion, could 
they but regulate the number of workmen in the country 
and in each trade. Thus, the unions have been the strongest 

1 Typographical Journal, January, 1915, p. 42. 

34 



TRADE UNION THEORY OF UNEMPLOYMENT 35 

agitators for a restriction of immigration. They maintain 
that as the population of the country increases the chances 
for employment lessen and there is less amount of employ- 
ment per capita. In the same manner they appear to think 
that by the abolition of the manufacture of goods by con- 
vict and child labor the per capita amount of work will be 
increased. In short, the union theory of unemployment is 
built upon the doctrine which economists have termed the 
"work fund" theory. 

In view of the existence of such union theories, it is not 
surprising that a great number of unions have placed re- 
strictions upon the admission of workmen to their organiza- 
tions. The editor of the Bridge and Structural Iron Work- 
ers Journal has stated the common union view as follows: 
" A ; s a general proposition with us we appear to think that a 
new applicant means another person to apply for the various 
jobs." 2 

Not all of the unions have adopted the policy of limiting 
their membership ; many are willing to receive as members 
practically all who are employed at the trade. But, where 
a local union has the field sufficiently organized to success- 
fully deal with the employers, very little effort is made to 
secure additional members. In some of the large cities 
it is very difficult to obtain admission to a building-trades 
union. In such cases it is felt that workmen have the local 
situation so well in hand that the presence of even a con- 
siderable number of unorganized workmen can have little 
influence in their dealings with the employers. 

A few local unions in various trades make their admission 
fees high as a barrier to deter the unorganized from joining. 
Initiation fees of $50.00, $75.00 and even $100.00 are found 
in a few highly organized unions, and this amount must be 
paid before the workmen are given their working cards. 
Another method of keeping the unorganized out of the 
union is to make the conditions of the examination such 
that it is very difficult for ordinary workmen to pass it. 

2 Bridgemen's Magazine, 1908, p. 848. 



36 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

The New York local union of Steam Fitters limits its mem- 
bership by this method. The requirements of the examina- 
tion are said to be of such a nature that a majority of the 
members of the union could not pass it. Other unions have 
gone further and have absolutely refused to consider ap- 
plications. While this is a policy of only two or three 
national unions, it is practised in a great number of local 
unions of various trades. These local unions have a suffi- 
cient number of members to maintain relations with the em- 
ployers and are extremely reluctant to receive any new mem- 
bers, even upon application. A still greater number of 
local unions do not make any serious efforts to organize their 
trade. Thus, a business agent informed the writer that 
he made no effort to secure new members and, further, that 
he attempted to persuade applicants not to join the union 
unless work was very plentiful. 3 

The union apprenticeship policies are dominated by the 
same ideas. The unions seek to perpetuate the custom of 
apprenticeship with its accompanying rules, primarily, in 
order that the supply of labor may be regulated and, sec- 
ondarily, that capable workmen may be produced. Although 
there is no desire to minimize the purpose of the unions to 
produce efficient workmen by the system of apprenticeship, 
it is obvious that this is subordinate to the desire to restrict 
the number working at the trade. In those trades in which 
the system of apprenticeship exists, a considerable amount 
of unemployment is frequently traced by the unions to the 
admission of too many apprentices. Thus, an official of the 
Photo-Engravers reported in 191 5: "We fully agree that 
one of the chief contributing factors that have been the 
cause of so much unemployment in our trade has been a too 
liberal apprentice ratio which is turning out more journey- 
men than the trade can absorb. The industry is not growing 
as rapidly as it has in the past and the new time and labor 
saving methods and processes are aggravating this situation. 
. . . We therefore . . . urge this convention to alter our 

3 Interview, February, 1913. 



TRADE UNION THEORY OF UNEMPLOYMENT 37 

existing ratio of apprentices so as to be more restrictive." 4 
Trade unionists generally believe that if the unions were 
allowed to fix the ratio of apprentices to journeymen, the 
problem of unemployment would be greatly lessened. Thus, 
the president of the Plumbers said in 1900: "I believe that 
the future prosperity of our trade lies in restricting the vast 
number of apprentices that are at present employed. The 
supply is greater than the demand and therefore in accord- 
ance with the other lines of trade we should endeavor to 
restrict the number of apprentices until such time as our 
older members have an opportunity to earn a livelihood." 5 
In the majority of trade conferences, such as those in the 
glass industry, the subject of apprenticeship is one of the 
most important topics of discussion. The unions demand 
that the ratio be reduced while the employers desire an in- 
crease. Frequently the unions have laid as much stress 
upon this point as upon wages and other working conditions. 
The relation between restriction of numbers and the 
avoidance of unemployment is illustrated by the policies of 
certain unions when trade is very active. In such cases the 
unions occasionally remove the barriers to membership in 
order to furnish employers with the desired number of 
workmen. They receive these men into the union upon the 
payment of the customary initiation fee, but are careful to 
accept as members only enough to meet the demands of 
the employers. In other cases the unions do not accept as 
regular members those workmen who are needed by reason 
of an increased demand. For instance, the Elevator Con- 
structors, which has limited its membership more success- 
fully than any other American union, utilizes the so-called 
"permit" system. A Chicago contractor stated in 1904 that 
"in busy times the Union (Elevator Constructors) will not 
admit new members so that all of its members, even the 
poorest, may be able to obtain employment," and that this 
resulted in a shortage of efficient men. 6 

* American Photo-Engraver, October, 1915, pp. 467-468. 
6 Proceedings, 1900, p. 15. 

6 Eleventh Special Report of the Commissioner of Labor, 1904, 
P. 333- 



38 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

When a local union of the Elevator Constructors is forced 
by the employers to find additional workmen, it secures men 
who have had experience in elevator construction, or struc- 
tural and ornamental iron workers, machinists, carpenters, 
and electricians. The work is of such a character that 
under the guidance of experienced elevator constructors 
these workmen of closely allied trades can be utilized very 
satisfactorily. But these men are not required to join the 
union. Indeed, in the greater number of cases they are not 
admitted. They are given "permits" which are valid for 
one or two weeks. If their services are needed after this 
time the permits are renewed, but if employment is not plenti- 
ful the men are released. For these permits the union 
charges the sum of 25 or 50 cents per day. The rules 
of the Chicago local union provide that " when the condition 
of trade makes it impossible to furnish employers with the 
necessary help from among the regular members, the busi- 
ness agent shall have power to issue permits to the members 
of other trades who may be competent to do the work. 
These permits may be withdrawn at any time by the busi- 
ness agent." 7 

President Murphy of the Elevator Constructors says that 
in 1912 the New York local union was working three hun- 
dred and fifty permit men at one time. 8 Nor are the fluctua- 
tions which require additional men of short duration. The 
secretary reported in 1908 that the Philadelphia local union 
had had an average of twenty-five permit men for two 
months, and added : " now that trade is dull, the permit men 
are being dispensed with to make room for the regular mem- 
bers who are out of work." 9 When asked as to the union's 
motive in using the permit system to such an extent, Presi- 
dent Murphy stated that the main reason was the desire to 
maintain the number of members at such a point that all 
would be steadily employed throughout the year. 10 

7 Constitution, 1914, art. 8, sec. 16. 

8 Interview, August, 1915. 

9 Elevator Constructor, 1908, p. 23. 

10 Interview, August, 191 5. , 



TRADE UNION THEORY OF UNEMPLOYMENT 39 

Partly on account of the great seasonal fluctuations, partly 
as a result of the policy of equal distribution of employment 
during the dull seasons, and partly on account of the fear 
of prohibition and local option laws, the Brewery Workers 
also use the permit system. 11 During the summer a large 
force of extra workmen is needed in all breweries. By 
reason of the policy of the union respecting the restriction 
of membership, the supply of workmen is not sufficient to 
cope with this extra work. The union, which has practically 
complete control of the trade, has been given the power to 
designate the workmen to fill all vacancies. Accordingly, 
the union secures unemployed members of other unions, gen- 
erally from those trades which experience seasonal unem- 
ployment during the summer months. The character of the 
work is such that no previous experience is required. 
These additional workmen are given permits which are re- 
vocable at any time on demand of the business agent. The 
fees charged the permit men are the same as the dues paid 
by the regular members. 

In the Flint Glass Workers there has been a shortage 
of mould makers on frequent occasions since 1901. Inas- 
much as the periods during which a scarcity of men has 
existed have been of short duration, the union has refused 
to allow the employers to increase the ratio of apprentices 
to journeymen. As a substitute, President Voitle of the 
Flint Glass Workers in 1902 advised that the manufacturers 
be permitted to employ members of the Machinists' union to 
do patching. Such workmen, however, were not to become 
members of the union, but to pay the regular assessments on 
their earnings. Furthermore, the permits of the machinists 
were to be revoked not later than June 30, 1902. 12 It ap- 
pears that this proposal was not adopted as a general rule, 
although it was put into practice in several shops. 

In 1904 the manufacturers again complained of a scarcity 
of mould makers and it was proposed that members of the 
Machinists' Union be given permits to do this class of 

11 Interview with Secretary Proebstle, August, 191 5. 

12 Proceedings, 1902, pp. 60-61. 



40 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

work. President Rowe in speaking of the proposition 
said: 

" I believe that if we extend relief to the bottle-mould shops where 
it is badly needed at the present time, we should carefully measure 
the number required to furnish the relief necessary, and we should 
confine that relief for one or two years to the common grade of 
work. If at the expiration of the period of one or two years, we 
are unable to fill the places with mould makers competent to do the 
work, we should then teach the trade to the machinists with permits, 
and when they become competent workmen we should admit them 
to membership. I favor this plan in preference to admitting more 
apprentices. If we admit more apprentices we will have them on 
our trade at all times, owing to the fact that they have learned no 
other trade. We should arrange specifications whereby the machin- 
ists could be put off in case of slackness in trade and they would 
have another trade to go to in case it was best for the interests of 
the workers to have them put off." 13 

The permit system was put into operation by the Flint 
Glass Workers in many factories, but it was not until 1914 
that a general rule was adopted. The convention of that 
year made the following provision : " In the case of a short- 
age of mould makers and the American Flint Glass Work- 
ers' Union is unable to supply the men within a reasonable 
period of time . . . the shop committee shall have the privi- 
lege of drawing labor from the International Association of 
Machinists, and all those engaged under such circumstances 
shall pay assessments into our Union and comply with our 
rules, with the distinct understanding that labor drawn in 
this manner, if working at a time when work becomes slack, 
shall be the first to be laid ofl before there is a division of 
time." 14 

In the building trades the permit system is in operation in 
a great many local unions. The Bridge and Structural 
Iron Workers issue permits to sheet metal workers, metal 
lathers, and boiler makers when there is a scarcity of union 
iron workers. The Carpenters frequently allow so-called 
" hatchet-and-saw " men to work on permits during the 
busy season and the Plasterers obtain " handy-men " to aid 
them in their work. The local unions of Chicago and New 

13 Proceedings, 1904, pp. 133-134. 

14 Proceedings, 1914. p. 193. 



TRADE UNION THEORY OF UNEMPLOYMENT 41 

York have been the chief centers of the permit system. It 
is common knowledge among unionists that at one time it 
was extremely difficult to obtain membership in any of the 
building-trades unions of Chicago and New York. 

The Steam and Hot Water Fitters have utilized the per- 
mit system in various forms. President Short of the Build- 
ing Trades Department said in 191 1 that " the conditions in 
Chicago at the first of the year were such that it was 
deemed advisable for the United Association of Plumbers 
to organize a local union of steam fitters, as theretofore it 
was impossible for a journeyman steam fitter to obtain 
admission into the organization to which he should belong. 
Instead of being given membership in the Steam Fitters' 
Union he was compelled to work under a so-called permit 
system. His permit would be renewed from week to week 
and a certain fee was charged for it." 15 While the present 
steam fitters' local unions of the United Association of 
Plumbers do not arbitrarily refuse to admit efficient jour- 
neymen into the union, they do use the permit system for 
helpers, and to a certain extent, for journeymen. When 
there is a scarcity of journeymen steam fitters, the union 
issues journeyman permits to its most efficient helpers, and 
in turn issues permits to handy men to take the places of 
the helpers who have been temporarily promoted. Such 
permits are revocable at the desire of the business agent. 
When work becomes dull, the permit journeymen are re- 
duced in rank to helpers and the permit helpers are given 
their release. The fees charged the helpers on permit vary 
from 25 to 50 cents per day, while the regular helper pays 
only $1.30 per month. A business agent of the Steam Fit- 
ters said he attempted to secure each season as helpers on 
permit men who had worked in this capacity before, and 
generally the men who have worked on permits return the 
next season for the same privilege. 16 

A great part of the jurisdictional disputes among the 

15 Proceedings, Building Trades Department of the American 
Federation of Labor, 191 1, p. 37. 

16 Interview, December, 1915. 



42 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

unions is directly attributable to the " work fund " theory. 
Each union strives zealously to increase its jurisdiction, 
since the members expect thereby to increase their field of 
employment and thereby to increase the per capita amount 
of work for the members. But the unions carry this idea 
further. It is a well known fact that a great number of 
workmen are capable of working at more than one trade. 
Such men would be able to greatly decrease their periods 
of unemployment by transferring from the trade in which 
they have been thrown out of work to a trade in which they 
could secure work. When, however, a member of a union 
attempts to transfer either for a short period or perma- 
nently to another union, he is compelled, with few excep- 
tions, to pay the same initiation fee as an unorganized work- 
man. 17 Very few unions allow the interchange of cards. 
The only exceptions appear to be the reciprocity agreements 
between the Bricklayers, Masons and Plasterers and the 
Operative Plasterers, the Western Federation of Miners 
and the United Mine Workers, the Maintenance of Way 
Employees and Carpenters, the Carmen and the Painters, 
the Glass Bottle Blowers and the Flint Glass Workers, and 
to a limited extent, the Ladies' Garment Workers and the 
United Garment Workers. A member of the Commercial 
Telegraphers, for example, is not recognized by the Rail- 
road Telegraphers although the work performed by the 
members of both organizations is practically the same, and 
there is much transferring between the two industries. 18 

Those unions which are organized on the basis of indus- 
try, instead of trade, furnish the most flagrant examples of 
this situation. The work of the members of the Stationary 
Firemen and Steam Engineers is the same as that per- 
formed by some members of the Brewery Workers, the 
Western Federation of Miners, and the United Mine Work- 
ers. But, there is no permanent interchange of cards be- 
tween these organizations. A member of the Teamsters 
cannot secure employment at his trade in the brewing or 



17 The Bridgemen's Magazine, December, 1903, p. 5. 

18 Interview, August, 191 5. 



TRADE UNION THEORY OF UNEMPLOYMENT 43 

mining industries until he withdraws from the Teamsters' 
Union and joins the Brewery Workers or Miners. When 
one considers the number of industries in which the average 
mechanic works during a year it is obvious that the indus- 
trial union form of organization, unless some change were 
made in present rules, would be less adapted to combat the 
problem of unemployment than the trade union. Under a 
system of organization by trade, a member of a union is 
free to work in any industry provided that he is employed 
at his customary trade, but the field of employment of a 
member of an industrial union is limited to one particular 
industry. 

From time to time in various unions, some of whose mem- 
bers have been capable of working at more than one trade, 
or in more than one industry, there have been campaigns 
for reciprocal recognition of the cards of certain unions. 
During the past few years a number of such agreements 
have been made. Some unionists have gone further and 
advocated a Universal Card System, under which a union 
card would be accepted by a local union in any trade, pro- 
vided that the initiation fees of both local unions are the 
same. The chief argument advanced by the promoters of 
the reciprocal agreements between particular unions and of 
the Universal Card System has been that when a workman 
is compelled to change his occupation he is generally in need 
of funds, and this is a most inopportune time for him to 
pay an initiation fee. Certainly the fact that he is com- 
pelled to pay a new initiation fee has forced many a work- 
man to relinquish the hope of securing employment under 
the jurisdiction of another union. 

In some unions there exists the practice of granting se- 
niority rights and privileges to certain members. Under 
this system when employment slackens, those members who 
have been longest employed are given preference by being 
employed at full time while other members are laid off. 
The system of seniority rights exists, to a certain extent, in 
many unions, but only in the Railroad Brotherhoods and 
in the Printers is it in general practice. 



44 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

The Typographical Union established its priority rules in 
1892. These provided that the oldest competent substitute 
should have the first vacancy and when the working force 
was to be decreased such decrease was to be accomplished 
by discharging first the person or persons last employed. 
Furthermore, when an increase in the force was desired, the 
persons displaced should be reinstated in the reverse order 
in which they had been discharged. 19 

This rule has been attacked from the outset. The objec- 
tions made to it have been summarized by Professor Barnett 
as follows: (1) The power of men of superior efficiency to 
secure employment in preference to workmen of fair skill 
is greatly lessened. (2) The incentive to high efficiency on 
the part of the employee is lessened. (3) The employer is 
less likely to pay superior workmen more than the minimum 
rate, for, if they leave his service, they must begin at the 
bottom of the list in some other office. (4) The distribu- 
tion of work is curtailed, for the foreman is unwilling to 
permit inferior men to " sub," for they would thus acquire 
priority rights in the office. (5) The mobility of labor is 
decreased, for a substitute with priority rights in one office 
cannot accept a situation in another office without losing his 
rights in the first. 20 

The defenders of the priority rule claim that it was estab- 
lished to guarantee equality of rights ; that before it became 
effective situations were given out regardless of the seniority 
of candidates for vacancies ; that under it a situation holder 
is secure in his position, while the first substitute in the 
office is assured in time of promotion to a position as regu- 
lar ; that it prevents members who are subbing from secur- 
ing situations through favoritism; and that it tends to re- 
ward long and faithful service. 21 At various times there 

19 Proceedings, 1892, p. 135. 

20 George E. Barnett, " The Printers : A study in American Trade 
Unionism," in American Economic Association Quarterly, third 
series, vol. 10, no. 3, p. 241. 

21 George A. Stevens, " The History of Typographical Union 
Number Six," in Annual Report of the New York Bureau of Labor 
Statistics, 191 1, Part 1, pp. 520-530. 



TRADE UNION THEORY OF UNEMPLOYMENT 45 

have been efforts to abolish the system, but each time the 
attack has failed. The New York local union in 1908 
pointed out that the priority rule "has had a fair chance 
to prove its merits in New York City and we are firmly con- 
vinced that a continuance of its enforcement will prove dis- 
astrous to the Union." 22 

It appears that the system has undergone considerable 
changes which its promoters did not anticipate. President 
Lynch said in 191 1 that "there has been a gradual and de- 
termined application of the priority rule in a broader and 
broader sense until the danger-point has been reached, and 
in many jurisdictions it is not now a question of competency 
which determines the man for a particular position but a 
question of priority. The priority law has been in count- 
less instances a great protection of our members, but in- 
stances are also on record where priority laws have been 
used to protect the incompetent to the demoralization of the 
composing room and to the discredit of the local union." 23 

In the various Railroad Brotherhoods seniority rights and 
privileges are in effect. The men are classified in certain 
groups in order of seniority, and the men last taken on are 
not entitled to any work until the men in the various groups 
are receiving runs totaling a certain number of miles. 
Thus, in periods of depression the young men are placed on 
the extra list and receive employment only after those with 
greater seniority rights earn a certain amount of money per 
month. This system has led to considerable discussion in 
the Brotherhoods, but the older men appear to be firmly 
entrenched and the younger men, realizing that some day 
they will have the same priority rights as the older men now 
enjoy, do not strongly object. In some cases the system 
has led to gross inequalities in employment. Thus, it was 
said in 191 5 that one-fourth of the total membership of the 
Locomotive Engineers were " extra " men, and that during 
the previous seven years on a certain division of the North- 

22 ibid., p. 530. 

24 Reports of Officers and Proceedings of the Fifty-seventh Ses- 
sion, 191 1, p. 39. 



46 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ern Pacific Railroad, the " extra " men did not average over 
$75.00 per month, while those with greater seniority rights 
averaged $175.00 per month. 24 

Some unions have gone farther than acquiring seniority 
rights for the trade over which they have jurisdiction, and 
have created rights in subsidiary trades. Thus, when it 
becomes necessary to reduce the number of locomotive en- 
gineers on the engineers' working lists, those thus taken off 
who have been promoted from the ranks of firemen in any 
seniority district, may, if they so desire, displace any fire- 
man who is their junior in that seniority district. 25 It is 
said that during the depression of 1914 one third of the 
engineers on some railroads took the places of firemen, who 
in turn displaced " hostlers." 26 

The American unions have attempted to solve the prob- 
lem, of unemployment also by the adoption of policies of 
another kind, which, it was thought, would tend either to 
increase the total amount of employment or to distribute 
the employment over a greater number of their members. 
Such policies are (1) restriction of output, (2) shortening 
of the normal day, and (3) regulation of overtime. 

The policy of restriction of output is justified by a num- 
ber of unions as a method by which employment may be 
increased. The desire to " make the work go round " is 
prevalent chiefly in trades which experience extreme sea- 
sonal fluctuations, and where the output is restricted in 
order to "make the seasons longer." The instances of 
union regulations for the systematic restriction of output 
are not very numerous, despite the fact that the induce- 
ments to adopt such policies are very great. Fifteen years 
ago, a number of unions provided in their constitutions for 
a restriction of output, but only a few have maintained 
such policies to the present time. The force of public opin- 
ion and the increasing disinclination of the employers to 

24 Locomotive Engineers' Journal, January, 191 5, p. 36. 

25 Chicago Joint Agreement between the Brotherhood of Loco- 
motive Engineers and the Brotherhood of Locomotive Firemen and 
Enginemen, May 17, 1913, art. 11. 

26 Locomotive Engineers' Journal, March, 191 5, pp. 224-225. 



TRADE UNION THEORY OF UNEMPLOYMENT 47 

bargain with the unions that openly declared for restriction 
forced these unions to abandon such policies. Two of the 
most glaring and, perhaps, most important illustrations of 
restriction of output which are sanctioned by the national 
unions, are those of the Printers and the Machinists. 

The Typographical Union prohibits the loaning, borrow- 
ing, purchase or sale of news matter in type, linotype, matrix 
or plate form, or of miscellaneous matter or cuts in small 
forms between newspapers of a city. Furthermore, the 
loaning, borrowing, exchange, purchase or sale of matter 
or matrices, or cuts of advertisements, by one local news- 
paper to another is prohibited, except that when the matrices 
of advertisements are furnished by one local newspaper to 
another, the text shall be reproduced within one week from 
the time of publication as nearly like the original as possible, 
made up, read, corrected, and proofs be submitted to the 
chairman for inspection. 27 This rule has been characterized 
as "job making" of the most despotic sort, and, although 
some justification has been attempted for the rule which 
requires the resetting of advertising matter, a great many of 
the members of the union criticize the rules on the ground 
that the only reason for their enforcement is the desire to 
"make work." 

The International Association of Machinists in 1901, pro- 
hibited its members from operating more than one ma- 
chine. 28 The one-man-one-machine rule, however, is not 
operative when the machines require no special skill to su- 
pervise them or are double machines. This rule had its 
genesis in an unwritten law which prevailed in the trade 
before the organization of the machinists. And indeed, 
many employers do not now object to the rule when it is 
applied to establishments which make large machinery, be- 
cause in these establishments two machines cannot be effect- 
ively operated by a single workman. However, in shops 
making smaller work, the rule operates as a restriction of 
output, for often one man is capable of operating more than 

27 Constitution, 1915, sec. 168. 

28 Constitution, 1901, art. 22, sec. 2. 



48 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

one machine. Thus, while the one-man-one-machine rule 
of the Machinists is justified in a great number of cases, 
there are other instances where its operation is merely a 
method of "making work." The union explains that the 
purpose of the rule is the physical protection of the work- 
man, but it seems clear that this is not the only motive. An 
officer of the union said in 1901 : " We prevented the intro- 
duction of the two-machine system in 137 shops, employing 
9,500 men, and it is safe to say that if this system had been 
introduced the force of men would have been reduced one- 
eighth; hence, in this we have saved the positions of 1,188 
men." 29 

These two examples are by no means the only instances 
of restriction of output in American unions. Thus, a cu- 
rious regulation of the Plumbers for increasing the con- 
sumption of time is the prohibition upon its members of 
"the use of the bicycle and motorcycle during working 
hours." 30 A business agent when asked for the justifica- 
tion of this rule stated that "a plumber could cover twice 
as many jobs that way." The Baltimore local union of 
Plumbers prohibits its members from telephoning to the 
employer when they are " out jobbing to know if there are 
any more jobs in the neighborhood." 31 

In the majority of trades there are unwritten regulations 
for the determination of the daily "stint." And, in the 
greater number of cases, they have been handed down from 
one generation of members to another. They are not in- 
corporated in any constitutions or working rules, but there 
is a tacit understanding among the members as to what con- 
stitutes a day's work. Frequently these restrictions exist 
to the same extent among non-unionists in the same trades. 

However, there are frequent instances where local unions 
have formulated definite schedules under which the output 
has been restricted. Thus, in May, 1899, tne Chicago local 

29 Eleventh Special Report of the Commissioner of Labor, 1904, 

P. 143. 

30 Constitution, 1913, sec. 125. 

31 Working Rules of Local Union, Number 48, 1914, art. 12. 



TRADE UNION THEORY OF UNEMPLOYMENT 49 

union of Plumbers adopted a set of working rules which 
specified the amount of work which was to be considered a 
day's work. When a journeyman was working on lead 
work, eight wiped joints should constitute a day's work, and 
'''when finishing on flats, apartments, hotel or office build- 
ings, one fixture shall be considered an average day's work, 
except in the case of laundry tubs, when each apartment 
shall constitute one fixture." 32 The outcome of the adop- 
tion of these rules was a general lockout in February, 1900, 
and this device for restricting output was abandoned, 
although President Kelley of the Plumbers stated that the 
rules were formulated in order to prevent " rushing." 33 

To sum up, it may be said that policies of systematic re- 
striction of output do not exist to a great extent in Ameri- 
can unions. Generally speaking, those rules which are in 
force have not been dictated by selfish or sectional class in- 
terests alone, but by the desire to prevent a speeding up of 
the workmen which threatens physical injury. It is not 
desired, however, to minimize the importance of that aspect 
of the problem which has to do with the desire to "make 
the work go round." It is generally admitted by unionists 
that this is an important motive for the maintenance of such 
policies. The ever-present fear of being thrown out of 
work leads the workmen to reduce output in order to make 
the work last as long as possible. 

It is very doubtful whether restriction of output affects 
to any extent the amount of unemployment. If restriction 
were applied only in seasons of depression, such might be 
the effect, but restriction of output on the part of individual 
workmen generally occurs in periods of prosperity. The 
employers maintain that in busy times men work at a more 
leisurely pace than they do in dull times, and the reason for 
this difference is obvious. When every member of the local 
union is employed and there is need for additional work- 
men, some workmen do no more than is absolutely neces- 

32 Report of the Industrial Commission, 1901, vol. 8, p. 407. 

33 Ibid., p. 966. 

4 



50 UNEMPLOYMENT AXD AMERICAN TRADE UNIONS 

sary because they do not fear immediate discharge. On the 
other hand, however, when only two-thirds of the trade is 
employed, the other third being idle but anxious to secure 
work, the workmen who have employment will exert them- 
selves to do all they can, knowing that many unemployed 
men are waiting for any vacancy that may occur. 

Closely linked with the policy of restriction of output, as 
a means of partially solving the problem of unemployment, 
is the union policy of decreasing the working hours of the 
normal day. Unionists and unorganized workmen have, at 
all times, demanded the reduction of the hours of labor. 
While the unorganized workmen have not succeeded as 
well, the unions have, to a very considerable extent, secured 
the eight-hour day. 34 

The unions, in their demands for a shorter working day. 
have developed their argument along two lines. For the 
benefit of the employers and the general public, the unions 
offer as exhibits, the case of those members employed at 
hazardous occupations which require uninterrupted atten- 
tion in order to guard against physical injury, and that of 
the workmen employed at tasks which consist of perform- 
ing the same operation several thousand times during the 
day. They depict such workmen returning home, after 
working ten or more hours, physically exhausted. They 
demand for their members such working conditions that 
there may be " eight hours for work, eight hours for rest, 
and eight hours for what we will." It is argued that the 
increased productivity which will result from the shortening 
of the working day will more than compensate them for the 
increase in the hourly wages. On the other hand, the 
unions frequently offer a different explanation to their mem- 
bers of their desire for the shorter day. They are told that 
to decrease the working hours is the one sure way to solve 

34 Of the 21,165 union members reporting to the Wisconsin Fed- 
eration of Labor in 1913, 11,552. or 54.6 per cent had secured a nor- 
mal working day of eight hours or less. The average daily working 
hours for the entire number was 8^4 ("Labor Conditions in Wis- 
consin.'' Second Report by the Executive Board of the Wisconsin 
State Federation of Labor, July 1, 1914, p. 13). 



TRADE UNION THEORY OF UNEMPLOYMENT 5 1 

the problem of unemployment. Thus President O'Connell 
of the Machinists said in 1901 : "There are 150,000 machin- 
ists in this country, and an hour taken off their day's labor 
would give employment to 16,666 more machinists." 35 Thus 
the problem would be solved. The average workman, who 
has been working ten hours a day, appears to believe this. 
He thinks that if his normal day were reduced from ten to 
eight hours, his output would certainly not be the same, and 
thus work would be furnished for his unemployed fellow 
members. This aspect of the question makes a great im- 
pression upon the workman. It is said that during a dis- 
cussion of the eight-hour day at union meetings, references 
to the opportunities for study and for more recreation which 
a shorter work day would bring, result only in a modicum 
of applause, while a word picture of the horrors of unem- 
ployment rarely fails to elicit the tumultuous appreciation 
of the audience. 36 

Such illustrations are not fanciful. The American Fed- 
eration of Labor has adopted, according to an expositor, 
the principle that "the movement to reduce the hours of 
labor is not to shirk the duty of toil, but as the humane 
means by which the workless workers may find the road to 
employment." 37 The Plumbers provide in their constitu- 
tion that eight hours shall constitute a normal working day, 
and explain that " inasmuch as the business throughout the 
country is insufficient to furnish employment to more than 
50 or 75 per cent of the journeymen, and recognizing that 
by reducing the hours of labor it will have a tendency to 
keep more men employed, the Saturday half-holiday is rec- 
ommended to all local unions." 38 President Kelley of the 
Plumbers in 1900 set forth the union theory of the shorter 
working day in its barest form as follows : "When our 
members decrease the number of working hours of a given 
day it simply means that more of them will be provided with 

35 Machinists' Journal, April, 1901, p. 199. 

36 Isaac H. Mitchell, " The Unemployed Problem," in The Nine- 
teenth Century, July, 1905, p. 117. 

37 The Bridgemen's Magazine, January, 1910, p. 9. 

38 Constitution, 1913, sees. 118-119. 



52 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

employment, and as a consequence, as we relieve the market 
of its unemployed surplus, we simply provide for the un- 
failing operation of the law of supply and demand, and 
through this means make possible the inevitable demand 
that will be created for our labor." 39 

The Painters at their convention in 191 3 adopted the fol- 
lowing resolution : " Inasmuch as the average painter is em- 
ployed not more than seven or eight months in a year, and 
as the only permanent remedy for this condition lies in the 
proportionate shortening of the working day, we instruct 
the Executive Board to do all in its power to put into sub- 
stantial effect the six-hour day." 40 Secretary McGuire of 
the Carpenters and Joiners as early as 1888 said that " by 
reducing the hours of labor we are furnishing employment 
for our unemployed" 41 ; and the Editor of the Bridge and 
Structural Iron Workers' journal probably stated succinctly 
the union's belief when he said : " Trade unions shorten the 
hours of labor to place more men at work." 42 

While a great number of trade unionists still hold this 
belief in the effect of the eight-hour day on unemployment, 
some of them have changed their former attitude. In 1898 
President Gompers of the American Federation of Labor 
stated that " in every industry where the hours of labor have 
been reduced through the efforts of organized labor, it has 
been followed by these results : wages have been increased, 
periods or seasons of employment have been lengthened 
and the number of unemployed has been reduced." 43 But 
in 1915, in " The Philosophy of the Shorter Working Day," 
he says that "the individual production of the short-hours, 
highly-paid worker is vastly greater than that of the long- 
hours worker." 44 If this is accepted as true, no employment 
has been created for those out of work. Likewise, the atti- 
tude of President Duncan of the Granite Cutters has under- 

39 Proceedings, 1900, p. 14. 

40 Proceedings, 1913, p. 631. 

41 Proceedings, 1888, p. 18. 

42 Bridgemen's Magazine, March, 1914, p. 149. 

43 Leather Workers' Journal, September, 1898, p. 4. 

44 American Federationist, March, 1915, p. 167. 



TRADE UNION THEORY OF UNEMPLOYMENT 53 

gone a considerable change. Writing in 1909 he said : " It 
was to help in the elimination of poverty that organized 
workmen agitated for a reduction of the working hours per 
day, and the fact that they now enjoy a shorter work day 
gives employment to many who, under the old method, 
would be idle, and each person so employed is a step in the 
trade union campaign against poverty." 45 But in 1914 he 
stated that the reduction of the hours in the Granite Cutters 
from ten to nine, and then to eight, had neither lengthened 
the seasons of employment nor given work to those un- 
employed, 46 

Trade unionists have, in the past few years, come to 
realize that not only is their explanation of the effect of a 
shorter working day on unemployment false in theory, but 
that it did not work in practice. With but few exceptions, 
the officials and members admit that the eight-hour day 
has not decreased unemployment. The explanation is made 
that the individual production is the same in both cases. 
President Gompers of the American Federation of Labor 
has stated that " there has been no diminution of output by 
reason of the reduction of hours from ten to eight. In not 
a few cases the output has not varied from the results of 
ten hours, the number of human workers remaining the same 
in proportion." 47 It is only in the building trades that the 
workmen still claim that the output in an eight-hour day is 
less than under the ten-hour day, and here in a few trades, 
especially those of the plumbers and the painters, it appears 
that this is true. 48 



45 Bridgemen's Magazine, January, 1910, p. 14. 

46 Granite Cutters' Journal, August, 1914, p. 2. 

47 Brauer-Zeitung, March 25, 1911, p. 1. 

48 For an account of the results which have been obtained in sev- 
eral large establishments through a reduction of the working hours 
from ten to eight per day, the reader is referred to a most instructive 
article, " The Eight-Hour Day," by C. J. Morrison in the Engineer- 
ing Magazine, December, 191 5, pp. 363-366. Mr. Morrison shows 
that manufacturers have limited their working day to an eight-hour 
basis without diminution of output; indeed, in some cases, more 
goods were produced under the eight-hour day and at lower costs. 
For other accounts of the results of the operation of the eight-hour 
day, the reader is referred to Thomas K. Urdahl, " The Normal Day 



54 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

The question of the regulation of overtime is closely con- 
nected with that of the shortening of the normal day. When 
a union has secured a reduction of working hours, it is ex- 
tremely reluctant to allow its members to work overtime. A 
member working overtime is looked upon as receiving em- 
ployment which should be given to those out of work. 
Thus, President Woll of the Photo-Engravers deprecates 
the " unjust practice of some of the members who work 
excessive overtime while others are denied the opportunity 
of employment." 49 The Cincinnati, Ohio, local union of 
Bricklayers and Masons explains that its members are pro- 
hibited from working overtime because "the object of regu- 
lar hours is to afford work for as many as possible." 50 

In order to discourage the employers from resorting to 
overtime, the unions have demanded that a wage rate con- 
siderably higher than that paid for work performed during 
the normal day, should be paid for all overtime. Generally, 
" time-and-half " is asked, although in certain cases over- 
time is paid for at " double-time." A few unions have gone 
further and prohibited their members from working over- 
time, except under certain circumstances. Thus, the Granite 
Cutters provide that " overtime is not to be worked except 
in cases of emergency, such as the spoiling or breaking of 
stone, delay in quarrying large sizes, where a stone is re* 
quired to finish a building or where an accident has hap- 
pened." 51 The Metal Polishers prohibit members from 
working overtime unless all vacancies are filled, and then 
only when overtime is absolutely necessary. 52 The Spinners 
prohibit members from working overtime under any circum- 
stances. 53 

The emphasis laid upon the restrictions on overtime as 

in Coal Mines," in the Proceedings of the First Annual Meeting of 
the American Association for Labor Legislation, 1907, pp. 50 et seq., 
and to the American Labor Legislation Review, March, 1914, pp. 106, 
107 and pp. 1 1 7-1 19. 

49 American Photo-Engraver, October, 191 5, p. 469. 

50 Constitution, 1912, art. 9, sec. 9. 

51 Constitution, 1912, sec. 95. 

52 Constitution, 1913, art. 35, sec. 8. 

53 Proceedings, 1913, p. 9. 



TRADE UNION THEORY OF UNEMPLOYMENT 55 

a means of increasing employment is further illustrated by 
the rules of certain unions which provide that when a mem- 
ber works overtime, he shall at some future time lay oft an 
equal amount of time. The Printers have formulated a 
rule, known as the " six-day-law," which prohibits its mem- 
bers from working more than forty-eight hours per week, if 
a substitute is available. Should a printer, through inability 
to secure a substitute, work a greater number than six days 
in any one week, or whenever his overtime aggregates eight 
hours, he is forced to give the first available substitute the 
opportunity to work the exact number of hours which his 
accumulated overtime amounts to. The local unions are 
allowed to specify the period during which this extra time 
is to accumulate, provided that it is not less than thirty 
days. 54 

The Railroad Brotherhoods limit the mileage or earnings 
of members when other members are unemployed. The 
engineers, for example, who are on "work-lists " are placed 
in one of three classes, (i) pooled or chain gang freight, 
(2) extra road, or (3) extra switching. In the busy season 
the men are transferred from one list to another to suit the 
demand. The crews in each class are given runs in the 
order in which they arrive at the terminal from previous 
runs, and so long as the men in the various classes are 
securing regular employment and there are none unem- 
ployed, they are not limited to a certain amount of work. 
But when the earnings of some men exceed a certain 
amount, while others who rightly belong in that class are 
unemployed, or are receiving less than a certain amount, a 
limit is placed upon the individual members. Thus, those 
in pooled or chain gang freight service cannot average more 
than three thousand miles per month; those on the extra 
road list are limited to the equivalent of twenty-two hun- 
dred miles per month; and those in extra switching service 
are not allowed more than twenty-two days work in a 
month. The result of these rules is that whenever the 

84 Constitution, 1915, sec. 105. 



56 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

average earnings exceed the various amounts while there 
are members unemployed, a sufficient number of workmen 
must be added to the list to bring the earnings within the 
proper limit. 55 

While one of the motives for the regulation of overtime 
in all unions has been the desire to give work to the unem- 
ployed, there has also been present in the seasonal trades, 
the idea that a regulation of the working day would tend to 
shorten the seasons of unemployment. Especially has this 
been the case in the building trades. President Duncan, of 
the Granite Cutters, for many years has exhorted the local 
unions to abolish all overtime, and thus force the employers 
to give up the custom of rushing the work in summer in 
order to close down the entire plant in winter. 56 In the 
building trades, even during periods in which there are few 
unemployed, the local unions are generally unwilling to have 
their members work overtime. 

The actual results of the abolition of overtime in lengthen- 
ing the working season have been entirely contrary, in the 
greater number of cases, to what was expected by the 
unions. The unions have failed to understand that even if 
less were produced in the eight-hour day than in a longer 
working day, the natural tendency would be for the em- 
ployers to increase their working force rather than the length 
of the season. In the building trades, for instance, were the 
employers unable, through the shortening of the normal day 
and the abolition of overtime, to complete their building 
operations in the customary season, they would be forced to 
employ more men. And inasmuch as all of the building 
trades mechanics are generally employed during this season, 
the employers would recruit their forces by securing work- 
men from other industries. Such workmen would, there- 
fore, be thrown upon the industry in the majority of cases, 
and would have to be taken care of in the dull seasons. 

55 Chicago Joint Agreement between the Brotherhood of Loco- 
motive Engineers and the Brotherhood of Locomotive Firemen and 
Enginemen, May 17, 1913, art. II. 

56 Granite Cutters' Journal, February, 1914, p. 4. 



CHAPTER III 
Local Union Employment Bureaus 

There is a great need in every industrial community for 
some agency through which the demand for and the supply 
of labor can be adjusted. On account of the seasonal fluc- 
tuations of trades, the variations in the demands of indi- 
vidual employers in consequence of peculiarities of their 
markets, and the continuous changes in the personnel of the 
working force of each business unit, there is at all times 
more or less maladjustment. The employment bureau is 
justified when there is unemployment due to the inability of 
employers to get into contact quickly with the unemployed 
who are capable of meeting their requirements. 

In descriptions of the existing employment bureaus of the 
United States the activities of the trade unions have gen- 
erally been omitted or given minor consideration. This is 
due either to the fact that the proportion of workmen who 
are organized is small, or that the majority of the trade- 
union employment bureaus are not merely employment 
bureaus. Furthermore, one cannot learn of the activities 
of the unions in this connection by a study of their litera- 
ture. Many trade unionists when asked whether their union 
maintains an employment bureau will answer in the nega- 
tive although their particular union may possibly have a very 
practical method of securing work for its members. The 
difficulty lies in the fact that there is prevalent the idea 
that an employment bureau is an office with card indexes 
and an attendant who is entirely occupied in registering the 
names of the unemployed and receiving applications for 
workmen from employers. The trade unionist thinks it 
only natural that his business agent should secure work for 
him when he is unemployed. This, he considers, is one of 

57 



58 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

the principal benefits of the union, but he does not term 
such an agency an employment bureau. 

It is obvious that the need for an employment bureau 
varies in the different trades. In those trades where the 
period of employment is relatively long, as in the printing 
trade, the glass industry, and the various railroad trades, 
there is little need for local employment bureaus. The main- 
tenance of a business agent in such trades would ordinarily 
be uneconomical. The business agent is peculiarly the 
product of the building trades unions. The need for such 
an official is great in these trades because of the short term 
of employment. 

Inasmuch as the local union generally provides for bring- 
ing unemployed members into connection with the proffered 
employment, the national unions have given little considera- 
tion to the question of local-union employment bureaus. 
The only exceptions appear to be the Ladies Garment Work- 
ers, 1 the United Garment Workers, 2 the Lithographers, 3 and 
the Cigar Makers, 4 all of which require their local unions 
to "establish labor bureaus for the purpose of designating 
work to the unemployed/' In the constitutions of the local 
unions there are seldom found any provisions for the main- 
tenance of employment bureaus because this is considered 
to be one of the essential functions of the unions, which it is 
unnecessary to particularize. 

It may be said that the average member of a union in 
search of employment secures help from his local through 
one or more of the following sources: (i) the business 
agent or secretary, (2) the shop collector, (3) fellow 
members. 

In practically every organized trade there are some local 
unions which provide for the employment of an official who 
is paid a salary sufficient to permit a capable member to give 
his entire time to the duties of the office. Such officers are 

1 Constitution, 1914, art. 12, sec. 2. 

2 Constitution, 1912, art. 13, sec. 2. 

3 Constitution, 1913, art. II, sec. 1. 

4 Constitution, 1912, sec. 131. 



LOCAL UNION EMPLOYMENT BUREAUS 59 

known as business agents or secretaries. The maintenance 
of such an office entails the expenditure of a considerable 
sum of money. The salaries of business agents vary from 
$20.00 to $50.00 per week, while the average is perhaps 
$30.00, and there are incidental expenses of $5.00 per week. 
A local union expends, on the average, about $1900 a year 
for a business agent. It is Obvious that only those local 
unions which have a considerable membership can afford this 
expense. 

In a few cases the expense of maintaining business agents 
is shared by the national unions. Thus, the Machinists 
assist local unions in maintaining business agents in any city 
"if after due investigation it is found that the interests 
of the organization warrant the expense." 5 The Pattern 
Makers in 191 3 assisted several of its local unions to support 
paid representatives, 6 and the Blacksmiths for many years 
have subsidized all local union business agents by paying 
one-half of their expenses. 7 In the Molders the expense 
of maintaining the business agents of the twenty-two Con- 
ference Boards is partly met by a subsidy of five cents per 
capita per month and in some cases by an additional sum. 8 
The Teamsters, Metal Polishers, Brass Workers, and 
several other unions help to defray the expenses of the local- 
union business agents when the unions are in need of assist- 
ance. Frequently, several local unions of allied trades no 
one of which would be able alone to support a business 
agent, together maintain a paid representative. This occurs 
generally among the building trades in small cities. 

It is found that the majority of local unions which main- 
tain business agents are either in the building trades, or if 
in other trades, those of large membership. In 191 5, 320 
local unions of the Carpenters and Joiners maintained busi- 
ness agents. The Chicago local unions had 29 agents, while 
New York had 16, Boston, 12, and Philadelphia and San 



5 Constitution, 1913, art 10, sec. 1. 

6 Proceedings, 1913, p. 14. 

7 Interview with Secretary Kramer, August, 1915. 

8 Constitution, 1914, art. 20, sec. 6. 



60 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

Francisco each had 7. In the Painters, there were 275 local 
unions which employed business agents, the Chicago branch 
maintaining 15. Of the 760 local unions of Machinists, 47 
had business agents. Thirty-seven of the 345 local unions 
of Boilermakers, 69 of the 118 branches of the Bridge and 
Structural Iron Workers, 23 of the 35 local unions of 
Elevator Constructors, and 45 of the 90 local unions of the 
Pattern Makers also employed representatives in 191 5. Of 
the other unions, the majority have business agents in the 
large cities and in the industrial centers of their particular 
trades. 

The duties of the business agent are varied. Generally 
speaking, he acts as treasurer of the union; he visits the 
different jobs to see that all those working at his trade are 
"paid up" members; he settles disputes between the mem- 
bers and the employers, interprets the rules of the union, 
and acts as an employment agent. Thus, as one of the 
duties of the business agent of the New York local union of 
bookbinders, it is provided that "he (the business agent) 
shall keep a record containing the names of the unemployed 
reporting for work and he shall find where men are wanted 
and adopt the speediest methods of notifying said members 
of such vacancies." 9 The business agent of the Baltimore 
local union of bricklayers and masons is required " to use 
all honorable means to procure work for the unemployed 
and to visit all builders and contemplative builders and en- 
deavor to secure their work for the members of the union." 10 

While the activities of business agents have probably re- 
ceived more criticism than those of any other union official, 
it is no doubt true that the agent is of great real benefit to 
the organized workmen. The average business agent is a 
well-informed man. He is on the alert at all times to secure 
employment for the members of the union. While his 
primary object is to make every job a union job, it is in 

9 Constitution, 1903, art. 5, sec. 6. 
- ° Constitution, 1909, art. 10, sec. 7. 



LOCAL UNION EMPLOYMENT BUREAUS 6 1 

consequence of this desire that he is efficient in supplying 
employers with workmen. His primary occupation is to 
learn of developments in his trade. He knows the condi- 
tion of every job within his jurisdiction, the prospects for 
the future employment of his members, and the immediate 
chances for securing work at each job. 

Let us consider, for instance, the activities of a business 
agent in the building trades. In the morning before the 
members begin work he spends an hour at his office in order 
to take care of any employment which the employers may 
have to offer. Then he spends a part of the day in visiting 
the various buildings on which his members are employed. 
He consults the employers and the foremen as to their need 
for workers. He secures from the architects a list of pros- 
pective building operations and visits the contractors or 
owners. Thus he learns of practically every opportunity 
for the employment of members of the union. 

The business agent does not, like the average employment- 
bureau official, wait for employment to be offered, but makes 
a survey of the field and applies direct to the prospective 
employer. Furthermore, he is far more efficient than the 
average employment-bureau agent in that he is a specialist. 
He knows his own trade perfectly ; he knows the ability of 
each of his men and his characteristics; and he appreciates 
the peculiarities of the employers and the conditions sur- 
rounding the various jobs. He considers these conditions 
before he recommends one of his men to an employer. On 
the other hand, the ability of an official of an employment 
bureau to cater to any particular trade is limited. He is 
forced to deal with more than one trade and as his knowl- 
edge of each is limited his selection of men is more or less 
haphazard. No amount of questioning by the employment 
agent can produce a knowledge of those peculiarities of the 
individual workmen which the business agent, through long 
association, has discovered, and an acquaintance with which 
is so useful to him in selecting workmen for particular jobs. 



62 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

The Chicago business agent of the Pattern Makers thus 
explains why employers apply to the union for men : 

" The business agent knows his men and can furnish a more satis- 
factory man than the employer can hire at the door of his factory 
by taking men as they come. Our members in their application for 
membership to the union and every time they send in an application 
for work, must state in the application the class of work that they 
are used to and how long they have worked at that class; besides, 
we get confidential reports from other sources upon the special apti- 
tude and ability of our members. The union officials claim that, 
being practical pattern makers themselves and having this line upon 
their men, they are more capable for selecting the men for a given 
kind of work than the employers themselves, who, while excellent 
business men, are not practical workmen. We give them the best 
men we can get for their line and we never send a man to a shop to 
do work that he can not do, if we know it." 11 

While the business agent spends the greater part of the 
day in visiting the various jobs and shops where his mem- 
bers are employed, he also has his office hours. These are 
known to the employers and to the members of the union. 
The latter generally loiter around the union headquarters 
in order to secure any employment which the business agent 
may have to offer. Some local unions have gone further 
and designated certain periods of the day during which ap- 
plications will be received for the different classes of work- 
men. Thus the Chicago Bakers and Confectioners, in their 
1 914 agreement with the employers, secured a provision that 
all bakers must be secured through the union's employment 
bureau, which would be open all day. But " steady hands " 
must be asked for during the hours of ten to twelve, and 
" hands " on cakes between one and two o'clock, while sub- 
stitutes were to be had at all times. Because of the fact 
that the employer can secure a competent hand on a few 
hours' notice, the union is frequently called upon to furnish 
workmen. The employer calls the business agent by tele- 
phone and asks for a certain kind of workman. Generally, 
the desired man can be found among those waiting about 
the hall, or one can soon be notified by means of the tele- 
phone number which each man on the unemployed list gives 
to the business agent, and the employer is furnished the 

11 Regulation and Restriction of Output, Eleventh Special Report 
of the Commissioner of Labor (Washington, 1904), p. 188. 



LOCAL UNION EMPLOYMENT BUREAUS 63 

desired workmen within a short time. This is practically 
impossible in the case of any other employment bureau. It 
has been stated by the Chicago employers of union pattern 
makers that they receive their men through the union as 
a matter of choice because " it is much easier to telephone to 
union headquarters for a man than to get one in any other 
way," and further that "the union does try to send a man 
best suited to the needs." 12 

It is obvious that the ability to secure a workman on an 
hour's notice is very convenient to employers. Consider 
for instance the case of bakers. When the shop starts to 
work it may be found that several " first hands " are absent 
on account of sickness or other cause, or that it is necessary 
to provide for extra orders. In such cases the employer 
requires the services of additional men within one or two 
hours, and the union's employment bureau is usually able 
to meet the requirement. 

But the business agent goes further than merely receiv- 
ing applications for men, and sometimes adopts ingenious 
methods of securing employment for his constituents. He 
scans the want advertisements of the press in hope that 
there may be found opening for his members. He secures 
publicity by advertising that employers may secure work- 
men from him on a few hours' notice by merely telephoning 
to his office. By means of such methods many odd jobs 
are filled. Thus, the business agent of the Memphis, Ten- 
nessee, Carpenters and Joiners' local union reported : 

We send out one thousand circulars each month for the purpose 
of refreshing the memory of our clients that we are still able to 
furnish them mechanics. It is one of the good features of this office 
that we secure a great number of small jobs from merchants. The 
merchants themselves are pleased with this arrangement as it saves 
them a great deal of trouble. The instances where our members 
secured employment through this office during the past year 
amounted to twelve hundred. Another point worth mentioning is 
the assistance rendered other trades by this office. Frequently we 
receive calls for painters, plasterers and men of other crafts, and 
as it helps us as well as others and serves to make this institution 
more useful and popular we are only too glad to oblige them in 
this respect. 13 

12 Ibid., p. 189. 

13 The Carpenter, February, 1906, p. 4. 



64 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

It is obvious that by requiring the employers to apply to 
the union for labor, the union makes its employment bureau 
more efficient. Such a course has been pursued more or 
less successfully by the Bakers, Barbers, Brewery Work- 
ers, Deutsch-Amerikanischen Typographia, Lithographers, 
Photo-Engravers, Flint Glass Workers, and Potters. Of 
course such a policy can only be enforced where the union 
has thorough control of the trade ; but where this method is 
practiced the union employment bureaus are put on a more 
business-like basis. 

As was stated above, the greater number of local unions 
are not financially able to maintain paid representatives. 
Such local unions, however, frequently appoint one of their 
members to perform the duties of a business agent during 
his spare time. He is generally the secretary or president. 
This official receives from the employers applications for 
workmen and confers with the employed members as to the 
prospects for work at the different shops. Frequently there 
is appointed in each shop or on each job where members of 
the union are employed a member who is designated the 
" shop collector," or in the building trades, the " steward." 
It is the duty of this member to represent the union and to 
acquaint himself with the prospects for employment. Should 
there be need for additional workers, it is his duty to make 
this known to the unemployed. At each meeting of the 
union, the various shop collectors or stewards make reports. 
The shop collectors and secretaries are of great assistance 
in securing employment for members. The employer 
knows that by applying to these men he will be supplied 
with the desired number of workmen more quickly and 
efficiently than by application to any other agency. Further- 
more, these officials, like the paid representatives, are always 
on the alert to discover possible places of employment with- 
out waiting for applications from the employers. 

Another source from which the union workman receives 
aid in securing employment is his fellow workers. One of 
the duties of a trade unionist is to procure work for his 



LOCAL UNION EMPLOYMENT BUREAUS 65 

unemployed fellow member. Thus, one of the duties of 
members of the Brotherhood of Carpenters and Joiners is 
"to assist each other to secure employment." 14 A member 
of the Bridge and Structural Iron Workers 15 or Bricklay- 
ers and Masons 16 takes the following oath : " I will at all 
times by every honorable means within my power procure 
work for members of this union." At each meeting of a 
local union the president usually asks the following ques- 
tions : "Are there any members out of employment?" and, 
"Does anyone know of any vacancies?" Generally, if 
there are any situations unfilled they are made known to the 
unemployed. Indeed, several local unions provide for the 
fining of those members who fail to notify the union of 
vacancies which are known to them. 

The permanent headquarters of a local union offers a 
place where the unemployed can congregate and where 
those who are working can assemble after working hours. 
The importance of this feature of trade-union life must 
not be overlooked. It is here that all the members meet 
and talk over the conditions in the trade. Those who have 
knowledge of vacancies gladly, and one might say, proudly, 
convey such information to their fellow members. Pros- 
pects for the future are discussed and the trade gossip is 
canvassed. The usefulness of such meeting places has long 
been realized by the trade unions. As early as 1893, the 
Bricklayers and Masons advised the local unions to estab- 
lish and maintain headquarters which would be open to the 
members at all hours of the day. 17 During the past ten 
years other unions have followed this example, and at pres- 
ent practically every building-trades union and the greater 
number of other unions maintain such rooms. 

One has only to spend a short time in the headquarters of 
a building-trades union to find that the members are fully 
cognizant of the local employment situation. The average 

14 Constitution, 1914, sec. 3. 

15 Constitution, 1914, p. 42. 

16 Constitution, 1912, art. 12, sec. 4. 

17 Proceedings, 1893, p. 113. 

5 



66 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

union carpenter, for example, knows of practically every 
job under construction and of the more important ones 
for which contracts have been awarded. Not only does he 
know the name of the contractor and general foreman, but 
that of the foreman whose duty it is to engage carpenters. 
There is no doubt that this lessens the work of the business 
agent. The workman does not ordinarily wait for the em- 
ployer to apply to the union, but visits the foreman before- 
hand and tries to obtain a job. In many cases this is done 
while the man is still engaged upon a job which will termi- 
nate before work on the new building will be started. 
While this method of obtaining employment is generally 
termed " calling around," it is very different from the hap- 
hazard means by which the unorganized and unskilled 
workmen secure employment. 

There exists in all unions the custom of " calling around." 
Having failed to secure employment through the union 
agencies described above, there remains the possibility of 
applying direct to the various employers. In some unions 
this method is facilitated by a printed list of shops or fac- 
tories in which union members are employed. Generally, 
the business agent or secretary will indicate certain estab- 
lishments at which there is the greatest chance for employ- 
ment. But on account of the increasing efficiency of the 
union employment bureaus this custom is gradually disap- 
pearing. The workmen now realize that when the business 
agent, secretary and other members are not cognizant of 
any vacancies, there is small chance of finding employ- 
ment. Consequently, this method, which was at one time 
the chief means by which workmen secured employment, is 
rapidly being supplanted by union agencies. In some unions 
it is held to be discreditable for a member to ask the em- 
ployer directly for work. Among the Hatters it is the 
accepted custom that a member looking for employment 
must not apply directly to the employer but get another 
member who is working in the shop to apply for him. Fore- 
men who hire hatters in violation of this rule are liable to 



LOCAL UNION EMPLOYMENT BUREAUS 67 

a fine of $25. oo. 18 This rule also obtains to some degree 
among the Cigar Makers. 19 

The methods by which workmen are chosen for the va- 
cancies which are reported to the union are of sufficient im- 
portance to be mentioned. There are three usual methods 
of determining which member shall be given the proffered 
employment: (1) place on the out-of-work list, (2) the 
decision of an official, (3) the drawing of lots. 

There are two kinds of out-of-work lists, the compulsory 
and the optional. The former is found in comparatively 
few unions. Under this method the names of the unem- 
ployed are kept on a list in the order of the length of unem- 
ployment, that is, those who have been out of work the 
greatest length of time are placed at the head of the list. 
When the employer applies to the union for a workman the 
first man on the list is sent, and unless the employer can 
show that this man is unable to perform the work he is 
obliged to employ him. This rule is found in general prac- 
tice only among the Miners and Brewery Workers, but ex- 
ists in a great many local unions of other trades. It is 
obvious that such a custom can only exist in a strongly 
organized trade, and where there is comparatively little dif- 
ference in the skill of the workers. 

The optional out-of-work list is in general use in a great 
many unions. Upon application the out-of-work list is fur- 
nished the employer and he is allowed to take any man on 
the list. Of course, if he should merely ask that a work- 
man be sent him, the man longest unemployed would prob- 
ably be designated. Such lists are maintained by a great 
number of local unions of the Metal Workers, Hatters, Pat- 
tern Makers, Photo-Engravers, Bakers, Printers, Litho- 
graphers, Blacksmiths, Machinists, Coast Seamen, and of 
some national building-trades unions. The rules governing 
the out-of-work list of the Coast Seamen are as follows : 
The man first on the list is given the first chance at the 

18 Interview with President Martin Lawlor, August, 1915. 

19 Letter from the secretary of the Tampa, Florida, branch to the 
writer, Feb. 22, 1913. 



68 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

vacancy. If he should not care to accept the employment, 
his name remains on the list in the same order, but if he 
should be absent from the roll call three consecutive times 
his name is removed to the bottom of the list. 20 

The second method — the decision of an official — is more 
widely used. Generally when an employer applies to the 
union for workmen, he specifies certain requirements, or, 
as occurs in a great many cases, he asks for a particular 
man. If he asks for a certain man, this member if unem- 
ployed will be sent. If he does not, the business agent gen- 
erally chooses the first man he can find who is able to meet 
the requirements. In the building trades if the men are 
wanted quickly, those loitering in the meeting room are 
chosen. In trades in which there is a high degree of spe- 
cialization or if men with certain qualifications are wanted, 
the business agent generally takes into consideration all who 
are unemployed before designating the man to accept the 
employment. It is obvious that where time is not impor- 
tant this is by far the best method of choosing men. In- 
deed, as was said above, it is in this respect that the business 
agent excels the ordinary employment bureau officials. 

It is to be admitted that by giving a union official the 
power of designating the person to fill a vacancy a fertile 
field for favoritism is opened, and disgruntled workmen 
have frequently asserted that the chances for securing em- 
ployment depend more upon being a friend of the business 
agent than upon ability or the length of the period of unem- 
ployment. On the other hand, if the comparative periods 
of unemployment were the sole guide, much of the value 
of the business agent's service would be lost. 

The third method of choice — the drawing of lots — is 
found in very few unions. Where practised a number of 
slips, on one of which is written the word "job," are placed 
in a hat, and the members draw the slips to determine which 
one is to apply for the job. This custom exists in a few of 

20 Letter from the editor of the Coast Seamen's Journal to the 
writer, October 25, 1915. 



LOCAL UNION EMPLOYMENT BUREAUS 69 

the local unions of the Cigar Makers and in some building- 
trades unions. 

In certain building-trades unions no choice is made, but 
the information concerning employment is placed upon a 
bulletin board in the union headquarters. It is considered 
that by this means each unemployed member is given an 
equal chance to obtain employment. Under this method, it 
frequently results that many times the number of workmen 
desired apply for work. 

If the trade-union member is unable through his union to 
find employment, there remains the possibility of securing 
work through application to state, commercial employers' 
and philanthropic employment bureaus, and through an- 
swering advertisements in the newspapers. 

Since 1890, when the State of Ohio established the first 
state employment bureau, twenty-two other States have 
created such agencies, and more than twenty-five cities have 
formulated plans for aiding those out of work in securing 
employment. Of the twenty-three state bureaus more than 
one-half have been established since the financial depression 
of 1907. Although one of the reasons for their establish- 
ment was the desire to curb the evils of the private employ- 
ment bureaus, a historical study shows that they have been 
created mainly in periods of industrial depression. These 
bureaus appear to a part of the public as one of the princi- 
pal means of increasing employment in such depressions. 
States and municipalities are urged to establish employment 
bureaus and great; efforts are put forth to insure their suc- 
cess. Soon after their establishment, and when business 
conditions improve, interest in the bureaus dies out and they 
either become merely registration offices for the down-and- 
outs and the unemployable, or are abandoned. 

The actual results of the public employment bureaus have 
been well described by a recent investigator as follows : " In 
practice, far from supplanting private agencies, the free 
offices have not even maintained an effective competition 
against them. With few exceptions their operations have 



70 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

been on a small scale, their methods unbusinesslike, and 
their statistics valueless, if not unreliable. Four States and 
about half a dozen cities have discontinued their offices and 
most of those now in operation are constantly on the de- 
fensive to maintain their existence." 21 Under such condi- 
tions it is not surprising that the trade unions have not 
given their support to the public bureaus. 

President Gompers of the American Federation of Labor 
traces the "persistent and widespread promotion in this 
country of the scheme for state and philanthropic employ- 
ment bureaus to the transatlantic steamship combination 
and the great trusts." He says further that the necessity 
for the public employment bureaus arises mainly when the 
stream of immigration is directed to one locality or another 
to the benefit of the employers, and that the employers'' 
profit comes through replacing union workmen by non- 
unionists and through substituting foreign cheap labor for 
unorganized labor. 22 President Gompers appears to think 
that trade-union employment bureaus, advertising, and 
regulated private agencies are capable of supplying suffi- 
ciently the needs of the employers, and finds no reason for 
the establishment of public employment bureaus. 25 The 
convention of the American Federation of Labor In 1914 
refused to endorse a resolution urging the creation of em- 
ployment bureaus by States and cities. 24 President Furu- 
seth of the Coast Seamen stated during the consideration 
of the resolution that the existing bureaus have been a 
"never ending curse" and have always been placed in 
charge of those " who have no sympathy with the struggling 
toilers." 25 

The attitude of the American Federation of Labor to- 
wards public employment offices is not unlike that of the 
English and German trade unions when public labor ex- 

21 W. M. Leiserson, " Public Employment Offices," in Political 
Science Quarterly, Vol. 29, 1914, p. 29. 
22 American Federationist, July, 1911, p. 514 et seq. 
28 Ibid., July, 191 1, p. 528. 

24 Ibid., June, 1915, p. 31. 

25 Proceedings, 1914, p. 357. 



b 



LOCAL UNION EMPLOYMENT BUREAUS 7 1 

changes were first established in those countries. Grad- ^ 

ually the unions in those countries have come to realize that 
such bureaus are not inimical to their interest. Recently 
the unions have been granted some share in the manage- 
ment and have accordingly appeared less hostile, though 
they can hardly be considered even yet as sympathetic. 

A few of the American trade unions have not objected to 
the establishment of public employment bureaus. The 
Printers at their convention in 191 5 went on record as fa- 
voring them, 26 and the Maryland Federation of Labor has 
recently endorsed the movement. 27 Indeed, the Superin- 
tendent of the Illinois Free Employment Agency 28 said in 
1901 that organized labor was largely responsible for the 
creation of that bureau, and Superintendent Dunderdale of 
the Boston Free Employment Office, states that " it was 
only through the influence of the trade unions that the law 
establishing the Free Employment Offices in this state was 
granted." 29 In some cases the unions have cooperated with 
the bureaus. Mr. Sears, superintendent of the Boston Em- 
ployment Agency, said that the unions furnished the bureau 
with information regarding labor difficulties and that there 
had never been any trouble over the bureau's supplying the 
employers with strike breakers. 30 

While it appears that the public bureaus in general have 
been of little value to skilled workmen, there are several 
which have done very efficient work during the past few 
years. Indeed, it appears that the trade unionists, while 
criticising the utility of the bureaus, have made some use of 
them. Thus, the report of the New York City Public Em- 
ployment Bureau for the first twenty-nine days of its opera- 
tion shows that of the 10,489 persons who applied for em- 
ployment, 364, of nearly three and one-half per cent, were 
members of trade unions, 81 while the Boston office of the 

26 Proceedings, 1915, p. 65. ' 

27 Proceedings, 1915, pp. 63, 67. 

28 The Bridgemen's Magazine, December, 1901, p. 182. 

29 Letter to the writer, February 25, 1916. 

80 American Labor Legislation Review, June, 1915, p. 284. 

81 Ibid., p. 281. 



72 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

Massachusetts Employment Bureau reported that of the 
10,707 persons for whom it secured positions in the first 
year of its operation, 441, or more than four per cent, were 
known to be members of trade unions. 32 Of course, the 
trade unionists use the public bureaus less, because the 
chances of a skilled worker obtaining employment in this 
way are very much less than those of an unskilled workman. 

It has been estimated that there are between 4,000 and 
5,000 commercial employment bureaus in the United 
States. 33 The majority of these have as clients mainly do- 
mestic servants and waiters, and to a less extent girls and 
women in the unorganized trades. Only a few of them 
profess to secure employment for skilled workmen, while 
trades which are highly organized are rarely supplied by 
these agencies except in times of strikes. The trade unions 
regard private employment agencies largely as strike break- 
ing bureaus and the activities of these offices furnish consid- 
erable proof of the soundness of the unions' contention. 
Moreover, several of the unions have experienced consid- 
erable trouble with commercial bureaus even at times when 
no strikes were being carried on. Thus, the Hotel and Res- 
taurant Employees complain bitterly that its members who 
apply to such agencies in periods of industrial depression 
are not infrequently made to pay exorbitant fees for the 
promise of situations which do not exist. 34 

The majority of trade unionists, especially those in the 
building trades, cannot hope to secure employment through 
the commercial bureaus because the few jobs which such 
bureaus have to fill are mainly non-union ; and the general 
trade-union antipathy towards these agencies is such that 
they would be used only as a lost resort. An exception 
seems to be the attitude of the Steam Shovel and Dredge 
Men. In its monthly journal there generally appear the 
advertisements of some twenty railroad labor supply agen- 

32 Quarterly Publications, American Statistical Association, June, 
1909, p. 522. 

33 Final Report of the Commission on Industrial Relations, 191 5, 
pp. 171, 172. 

34 Mixer and Server, September, 1915, p. 68. 



LOCAL UNION EMPLOYMENT BUREAUS 73 

cies in the West and Northwest. The secretary, however, 
explains that these agencies do not charge the members of 
the union fees, but merely act as the union's representatives 
and obtain their fees from the employers. 35 

Within recent years the employers' associations in all the 
large industrial centers have established employment bu- 
reaus. These are supported by the employers and work- 
men are not charged fees. Although the directors of these 
bureaus claim that they have been established in order to 
supply the employers with workmen at all times, the major- 
ity of them owe their origin to the desire of the employers 
to establish and maintain the so-called " open shop." These 
bureaus are in most cases not active except in times of in- 
dustrial strife and the motive for their maintenance is 
mainly to secure a weapon against the unions. Conse- 
quently, except in a small number of cases, the trade union- 
ist cannot hope to secure any help from them. 

In every city there are religious and charitable organiza- 
tions which attempt to find work for the unemployed. The 
tendency during each period of industrial depression has 
been to multiply these agencies. Inasmuch as the main 
work oi these philanthropic bureaus is to secure work for 
the unemployed who are not capable of holding ordinary 
positions the trade unionist is not likely to receive help 
from this source. Frequently the unions have protested 
against the wages at which such agencies have placed their 
applicants. In one case during the depression of 1914 a 
philanthropic bureau in a Mid-western city was accused by 
the trade unions of undermining the whole scale of wages 
in the city by sending men to work at cut rates. 36 

There remains for the workmen the want advertisements 
of the newspapers. To unskilled workmen, professional 
workers, and domestic servants these are of some value, but 
the skilled mechanic and trade unionist can rarely use them 
to any advantage. A study of newspaper advertisements 
as a medium for securing employment shows that the trade 

35 Interview with Secretary Dolan, August, 1915. 

36 American Labor Legislation Review, November, 1915, p. 545. 



74 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

unionist is seldom offered work at union wages and hours. 
Advertisements for carpenters, painters and other building- 
trades mechanics are frequently inserted, but the men are 
generally to be employed on non-union jobs. A study of 
the "help-wanted" columns of the Baltimore newspapers 
for several years resulted in finding less than a half-dozen 
opportunities for members of any trade union to secure 
work under union conditions. 

In what has been said above the attempt has been made 
to show the superiority of the trade-union over other exist- 
ing employment bureaus as a means of connecting the unem- 
ployed with employers in need of men. Not all of the 
unions have developed their resources to the full in this 
connection and accordingly the members of many unions 
are forced to rely upon other means of securing employ- 
ment. 



CHAPTER IV 
Union Agencies for the Distribution of Workmen 

In the same way that a workman is forced to move in a 
community from one employer to another, he may be forced 
to move from one local labor market to another because of 
the variation in the demands for workmen in the two local 
labor markets. Although a number of trades are affected 
in approximately equal degree throughout the country in 
periods of general business depression, there are other trades 
which are differently affected in different communities. 
Even in periods of industrial prosperity, the variations in 
demand among local labor markets are great enough to 
necessitate the transfer of many workmen. Given the fact 
that there is a scarcity of workmen in one labor market and 
a body of unemployed in another, there remains the prob- 
lem of making known to the unemployed that there are op- 
portunities for securing work elsewhere. 

Some unions have considered it their duty not only to 
secure the employment which is offered in a community for 
the members who reside in that labor market, but when the 
demand for labor in a community is such as to require the 
services of additional workmen, to procure them from other 
places where some of their members are unemployed. In- 
asmuch as the methods of those unions which have at- 
tempted systematically to increase the mobility of labor 
cannot be successfully classified, it is necessary to describe 
separately the activities of the several unions. 

Owing probably to the great local differences in the de- 
mand for workmen in the granite industry, the Granite 
Cutters' Union has probably the most effective method of 
adjusting inter-local supply to be found among American 
trade unions. During the past fifteen years the following 

75 



76 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

system has been maintained : When a local union is unable 
to supply from its members the number of workmen desired 
by the employers, the national union is notified. The gen- 
eral secretary immediately sends this information to the 
local unions nearest the locality. If it is found that the 
man cannot be obtained from nearby local unions, the infor- 
mation is printed in a "flier," with generally eight or ten 
other such announcements, and sent to every local union in 
the country. The information concerning each opportunity 
for employment is complete. The " flier " gives the em- 
ployer, the kind of workmen required, that is, granite cut- 
ter, polisher or tool sharpener, the class of work to be per- 
formed, the number of men required, the working conditions 
and the length of time the men will be given employment. 
These " fliers " are generally issued weekly, but the period 
depends upon the variations in the demand among the dif- 
ferent localities. 

Unless the distances between the local unions in which 
men are unemployed and those in which men are needed 
are very great, there are few cases in which the employers 
are not supplied in a short time. The general secretary, 
besides notifying the trade of the opportunities for employ- 
ment, also occupies himself in furthering the transference 
of the men required. Members are advised to telegraph 
or write to the employers before moving, and as this advice 
is generally followed, only the required number of men 
transfer. The employers have expressed their satisfaction 
with the system, and the union has succeeded in materially 
shortening the period of unemployment due to the need of 
transference from one locality to another, and has done 
away with a great deal of needless and haphazard traveling 
from one city to another. 

The system of inter-local supply among the Glass Bottle 
Blowers had its origin in the introduction of the bottle 
machine. To operate the machine the services of expert 
pressers were required. The union did not have control 
over the class of workmen who were able to perform this 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 77 

kind of work and therefore established an employment 
bureau in order to satisfy the demands of the employers. 
In 1903 a member who was an expert presser was appointed 
as chief of this bureau. The bureau seems to have given 
satisfaction, for President Hayes reported to the convention 
in 1905 that the employers had been furnished with in 
machine workers, which amply filled every demand for men 
of this class. 1 

Having been so successful with the employment bureau 
for machine workers, the union decided to render similar 
services to other members. Accordingly, all unemployed 
members were requested to send their names, addresses and 
occupation to the national secretary. The local union secre- 
taries and manufacturers who were in need of men were 
asked to notify the union. This extension of the bureau's 
services has been a distinct success, despite the fact that at 
times it has been impossible to induce the unemployed to 
transfer to places where work could be secured. The gen- 
eral secretary, upon receiving a request for men, sends tele- 
grams or letters to those upon his unemployed list, and if 
this fails to procure the required number of men, the trade 
is notified by means of circulars. Also, each local-union 
secretary reports quarterly to the union the number of fur- 
naces at work and idle, the number of members employed 
and unemployed, the number doing " spare " work, the num- 
ber of men required and the number of men available for 
transfer. This information is classified and sent to the 
trade. Thus, there is available at all times, definite infor- 
mation as to the condition of trade in the various localities 
for the benefit of those members who are unemployed and 
are willing to remove to another locality. There appears to 
be little, if any, difficulty in inducing the local unions to 
notify the union of a scarcity of workmen, and the traveling 
members are generally given the same consideration as the 
local members when there is work to be had. 

Another national union which has established an employ- 



Proceedings, 1905, p. 23. 



78 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ment bureau is the Flint Glass Workers. The demand for 
men in various localities varies so greatly in this trade that 
sometimes it has been very difficult to supply the employers 
with the required number. In the agreements between the 
union and the manufacturers the latter have demanded the 
incorporation of the following : " The union agrees to ad- 
vertise for men free of cost, and to do its best to place men 
in the factory when needed." 2 The mode of procedure is 
for the local-union secretaries to furnish the general secre- 
tary with definite information as to the number of men re- 
quired and the number of members unemployed. Those 
who are unemployed and willing to transfer to another 
locality file their applications with the union. The em- 
ployers notify the chairman of the shop committees when 
they are in need of men and they in turn inform the gen- 
eral secretary, if the local union is unable to furnish the 
desired number. The general secretary immediately notifies 
those on the unemployed list who live nearest the locality 
in which the shortage of men exists. If this fails to supply 
the number of men required, the entire membership is 
notified through the official journal and circulars. 

During the past few years the union has experienced con- 
siderable difficulty in supplying employers with all the men 
needed in certain branches of the trade. Especially was this 
the case with mould makers. The union through its trade 
letters, journals, and circulars, and through correspondence 
with the local unions in 1910, and again in 1912, attempted 
to reach the unemployed and induce them to transfer to 
localities in which there were shortages of mould makers. 
The places remained unfilled despite the activities of the 
union. It was clearly a case of unprecedented prosperity 
in this department of the industry, and the union's methods 
were not at fault. In the other branches of the trade, the 
union has generally been able to effect the needed transfers. 
The custom of writing to firms in different localities for 
work became so general and produced such unfavorable re- 

2 Circular, Number 1, August 7, 1914, P- 2. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 79 

suits that the Lithographers in 1906 ruled that this method 
of applying for employment should be discontinued. 8 As a 
substitute there was established an employment bureau under 
the direction of the general secretary. The unemployed 
were to send their names and qualifications to the bureau, 
and the local-union secretaries were required to notify the 
general secretary of any vacancies. Those first on the un- 
employed list and living nearest were to be notified by tele- 
graph to apply for the positions or to notify the bureau that 
they did not care to accept them. Although there appears 
to be only a small number of transfers among the lithog- 
raphers, the employment bureau performs its duties in this 
connection very adequately. 

The Photo-Engravers' Union for many years was con- 
fronted with the problem which exists in so many trades, 
viz., the acceptance by members of positions in other cities 
without consulting the business agent of the union in the 
locality. There might be a sufficient number of men who 
were capable of filling the positions in the city, but the em- 
ployer, for reasons of his own, preferred to obtain work- 
men from another city. There was thus an unnecessary and 
costly movement. The convention in 1906 established an 
employment bureau at national headquarters and adopted 
certain rules. It was made compulsory fpr members to 
write to local-union secretaries before accepting positions in 
another city. The unemployed were to register at head- 
quarters. Local unions were required to notify the bureau 
of any vacancies and the employers were requested to file 
applications for workmen. 4 During the first six months of 
the operation of the bureau 108 applications for employment 
and 109 applications for workmen were received. The sec- 
retary reported that the greater number of these positions 
had been filled, although it was impossible to give the exact 
number as the members did not always notify the bureau 
when the positions were accepted. It was then provided 
that when an applicant was notified of a vacancy, a blank 



3 Proceedings, 1006, p. 193. 
* Proceedings, 1906, p. 61. 



80 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

was to be sent him to be used for notifying the bureau 
whether or not he had accepted the position. 5 

From time to time improvements were made in the 
methods of the bureau and its usefulness was increased. In 
1912 President Woll reported that the bureau "continued 
to be of great benefit to the members seeking employment/ ' 
and likewise that "employers have been aided, and general 
satisfaction has been expressed by all those who have had 
occasion for its use." 6 During the past few years the effi- 
ciency of the bureau has been increasingly higher. Writing 
to employers for positions, advertising or answering adver- 
tisements for employment, and applying to other agencies 
than the union's bureau have been discouraged. The em- 
ployers have thus practically been forced to make use of 
the bureau; and they have expressed complete satisfaction 
with the manner in which they have been brought into con- 
nection with possible employees. The chief reason for the 
present efficiency of the Photo-Engravers' employment 
bureau has been this realization by the officers of the benefits 
that the union may derive from it. As President Woll said 
in 191 5, "We should ever be ready to do all in our power to 
furnish union help whenever required, not simply because 
the employer wants it, but because it is a good business 
proposition." 7 

The Potters also keep a list of unemployed members at 
headquarters. The general secretary requires those who 
apply for employment to state their experience, the par- 
ticular kind of work they have performed, and other perti- 
nent facts. When an employer inquires for a workman, 
the secretary is able to give him a list of those who are able 
to do the work. The general secretary states that the em- 
ployers do not hesitate to apply to the bureau for men, and 
that the system has been very satisfactory to the members 
and the employers alike. 8 

5 Proceedings, 1907, p. 46. 

6 Proceedings, 1912, p. 24. 

7 Proceedings, 1915, PP- 23, 24. 

8 Letter of Secretary John T. Wood to the writer, October 25, 1915. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 8 1 

Through weekly reports made by the local unions of the 
Pattern Makers, the president is enabled to secure definite 
information of the state of the trade in each locality. The 
local secretaries report weekly the number of members em- 
ployed and unemployed and the number of wood, metal, 
and plaster pattern makers wanted by the employers. These 
reports are classified and sent to each local union, thus 
enabling them each week to direct the unemployed to locali- 
ties in which they can secure work. The president also at- 
tempts to supply directly the needs of employers from the 
list of unemployed members which is kept at headquarters, 
and telegraphs to those of the unemployed residing nearest 
the place where men are needed. These efforts coupled 
with the activities of the local unions adequately cover the 
field and in the majority of cases the employers are quickly 
and efficiently furnished with the necessary men. 9 The 
Stone Cutters for many years had a system like that of the 
Pattern Makers. The local unions reported to the general 
secretary the state of trade and prospects and the number of 
members employed and unemployed. These were classified 
and sent to the various local unions. Since September, 
1914, these weekly trade reports have not been published, 
because the employment in all localities has been very poor 
and there has been no need for transfers. 10 

Three of the railroad brotherhoods have attempted to 
facilitate the movement of their members by the establish- 
ment of employment bureaus. At the first convention of 
the Locomotive Firemen in 1888 an employment bureau was 
established at headquarters. It was provided that the 
national president should keep a register of the applicants 
and endeavor to secure employment for them. The officers 
and members of the subordinate unions were urged to inform 
the bureau of all vacancies and the railroad companies were 
requested to apply to the bureau for men. 11 It is understood 

9 Interview with President James Wilson, August, 1915. 

10 Interview with Secretary Drayer, August, 1915. 

11 Locomotive Firemen's Magazine, November, 1888, p. 809. 
6 



82 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

that the bureau was established in order to secure employ- 
ment for the one thousand members who were thrown out 
of work through losing the Chicago, Burlington and Quincy 
strike in 1888. Since that time it has performed but little 
service in securing employment for the members of the 
union. President Carter says that it has been unsuccessful 
for the reason that a railroad generally refuses to employ 
engineers and firemen who have secured their experience 
on other roads. 12 

The Railway Conductors 13 established its employment 
bureau in the same year as did the Firemen, but it was 
abolished after a few years on account of its failure to be of 
service to the unemployed. However, it was reestablished 
at the Detroit Convention in 1913. 14 Acting President 
Sheppard said in 191 5 that while there had been quite a 
number of applicants, the bureau had "been able to lend 
practically no assistance to the members searching for em- 
ployment," although immediately following its establishment 
in 1913 employment was found "for several members." 15 
The Railroad Trainmen in 191 5 appointed one of its mem- 
bers as chief of its employment bureau in Chicago " for the 
purpose of advising its members who are now in search of 
employment." 16 

Prior to 1912 a member of the Bookbinders who wished 
to travel in search of employment was compelled to write 
to the secretaries of the local unions he wished to visit 
before he was allowed to apply directly to the employers for 
work. Because of the failure of the secretaries to reply 
and the spirit of selfishness displayed in many localities, 
this rule was abolished and an employment bureau was 
established. It was provided that the unemployed were to 
register with the bureau, and local union secretaries were 
required to notify the general secretary of all vacancies. 
Members who left positions were to report this fact to the 

12 Letter to the writer, October 19, 191 5. 

13 Proceedings, 1888. p. 237. 

14 Proceedings, 1913, p. 748. 

15 Letter to the writer, October 16, 191 5. 

16 Railroad Trainmen, March, 1915, p. 40. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 83 

bureau and the employers were requested to apply for men 
when they were needed. 17 During the first month of the 
bureau's existence, July, 191 1, a number of members were 
furnished with employment, 18 but the local unions did not 
notify the general secretary of the vacancies in their juris- 
dictions and the bureau was abolished. 19 

For several years prior to 191 2 President Lynch of the 
Typographical Union advocated the establishment of an 
employment bureau under the supervision of the general 
secretary. The convention in 1912 instructed the executive 
officers to formulate plans for such a bureau, 20 and the 
following rules were adopted: (1) only members of the 
union were to be registered; (2) each applicant was to pay 
an initiation fee of $1.00; (3) requests for men from cities 
in which there were local unions were to be endorsed by the 
local-union secretaries. 21 The bureau was opened January 
1, 1913, and several hundred dollars were expended in send- 
ing to the trade advertising pamphlets. During the first 
six months of its operation, 62 members registered ; during 
the next year there were 79 applicants for employment, 
while for the year 1914-1915 only 29 members registered, 
and of these it is thought that but few received employment 
which could be traced to the activities of the bureau. In 
short, as Secretary Hays said in 1915, the "employment 
bureau has not proven very satisfactory." 22 

In 1901 the Leather Workers on Horse Goods established 
an employment bureau at headquarters with three branches. 
The country was divided into three sections, in each of 
which a member was appointed as employment agent. Each 
was to receive applications from the unemployed and at- 
tempt to transfer them to localities in which they could 
secure employment. When one of the agents was unable 

17 International Bookbinder, June, 191 1, p. 238; Ibid., August, 191 1, 
P. 303. 

18 Ibid., August, 191 1, p. 282. 

19 Letter from Secretary W. N. Reddick to the writer, November 
9, 1915. 

20 Proceedings, 1912, p. 302. 

21 Typographical Journal, August, 1913, p. 86. 

22 Letter to the writer, October 19, 1915. 



84 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

to supply the demands in his territory, he was to notify the 
general secretary or one of the other agents. 23 President 
Balsinger in 1902 said, "The bureau has given universal 
satisfaction," 24 but the three sub-bureaus were abolished in 
1903. 25 Since that time the bureau at headquarters has 
been maintained and has kept a list of the unemployed from 
which the requests of employers have been supplied. Sec- 
retary Pfeifler in 191 5 said, "We have met with little or no 
success for the reason that it has been impossible to get the 
employers to cooperate with the bureau." 26 

So far we have mentioned only the more important unions 
which have established employment bureaus. Although 
those which we have discussed are the only national unions 
which really perform any considerable service in placing the 
unemployed, there are a number of others that from time to 
time, under pressure from the employers, attempt to trans- 
fer the unemployed. In this category may be placed the 
following unions: Bakers, Blacksmiths, Bridge and Struc- 
tural Iron Workers, Elevator Constructors, Stove Mounters, 
and Typographia. In none of these is there any perma- 
nent system of finding employment, the unions merely at- 
tempting to transfer members when some employer or local 
union writes for workmen. 

Several unions have emphatically rejected the proposal 
to establish employment bureaus to which the local unions 
would have been required to report regularly the exact con- 
dition of trade. Thus, in 1895, the Iron, Steel and Tin 
Workers refused to accede to the suggestion of President 
Garland that an employment bureau should be established, 
to which the local unions should report every two weeks 
as to the condition of trade. 27 The general antipathy ex- 
hibited by the average member of a union towards any pub- 
licity of employment conditions is probably best illustrated 
by the history of the Bricklayers and Masons. In 1873 a 

23 Leather Workers' Journal, November, 1901, p. 60. 

24 Ibid., July, 1902, p. 306. 

25 Ibid., March, 1903, p. 32. 

26 Letter to the writer, October 19, 1915. 

27 Proceedings, 1895, p. 4940. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 85 

national employment bureau was established. Each local 
union secretary was required to inform the general secre- 
tary monthly as to the number of employed and unemployed, 
and whether or not any additional men were needed. 28 The 
bureau lasted but a few months, the local unions refusing 
to notify the secretary of the actual conditions of trade. In 
1 88 1 the union attempted to reestablish the employment 
bureau and at this time required only quarterly reports 
from the local unions. 29 In the following year many of the 
local unions refusing to report, the rules were changed so 
as to require only semi-annual reports. 30 During 1905 Sec- 
retary Dobson was requested by employers in many cities 
to supply them with additional men. He thereupon wrote 
to all local unions asking them to report the actual condi- 
tion of trade, giving the number of additional men required 
or the number of members unemployed. Only a few re- 
sponses were made and the majority of these were from 
cities in which employment was very poor. In commenting 
upon the refusal of the local unions to give publicity to trade 
conditions, he said : " Judging from the replies we received 
we understood that no matter how many men were needed 
to supply the demands of the employers our local unions did 
not take kindly to our idea or desire the fact to be known 
that their particular communities were in need of men." 31 
There was an attempt made at the convention in 1910 again 
to establish an employment bureau at headquarters, but only 
one third of the delegates voted in favor of the proposal. 32 
During 191 2 Secretary Dobson once more tried to obtain 
from the local unions accurate information concerning the 
state of trade, but he was forced to abandon the idea be- 
cause the local unions refused to supply him with the neces- 
sary information. 33 

28 Proceedings, 1873, p. 25. 

29 Proceedings, 1881, p. 25. 

30 Proceedings, 1882, p. 32. 

31 Fortieth Annual Report of the President and Secretary, 1905, 
P. 334- 

32 Proceedings, 1910, p. 169. 

33 Interview, August, 191 5. 



86 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

About ninety per cent of the American trade unions pub- 
lish weekly or monthly journals which in a number of 
unions are set free to each member. Some of the unions, 
realizing the possibilities of these journals as a means of 
conveying information respecting employment conditions 
have utilized them for this purpose. For example, the 
Cigar Makers, Iron Molders, Plasterers, and Sheet Metal 
Workers publish every month in their journals the state of 
trade in each of their local unions. The Woodcarvers' 
Journal contains reports from the local unions giving the 
number of shops in which trade is good, fair and dull, and 
the number of members employed and unemployed. The 
Bricklayers and Masons, Carpenters, Flint Glass Workers, 
and Plumbers publish lists of cities in which trade is dull. 

Some of the building-trades unions have for many years 
given considerable space in their journals to construction 
news in various cities. Lists of the principal contracts 
which have been awarded and advanced information rela- 
tive to proposed buildings are published. The Bridge and 
Structural Iron Workers' journal contains a list of all iron 
and steel buildings and bridges that are contemplated, and 
the Bricklayers and Masons and the Lathers publish news 
concerning all construction work that will give employment 
to their members. While this information is sometimes val- 
uable to those who wish employment, these lists have in 
many cases caused needless traveling. A bricklayer notic- 
ing in the journal that several large contracts have been 
awarded in a distant city may not know whether the con- 
struction is to be of brick, or whether the general condition 
of trade in the particular city is such that additional men 
will be required. There have been many complaints in the 
Bricklayers' Union concerning the publication of news of 
this kind, and at times the journal has discontinued pub- 
lishing it. The Stone Cutters' Journal for several years 
contained a list of contracts awarded, but discontinued its 
publication in May, 191 5. Secretary Drayer said that much 
needless traveling had been caused by the publication of 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 87 

these lists since members had transferred to cities in which 
the journal had noted great building activity, only to find 
that on some of the large buildings not more than a few 
hundred dollars worth of stone was to be used, and in some 
cases that terra cotta had been substituted entirely for 
stone. 34 

The Boot and Shoe Workers, Coopers, Garment Work- 
ers, Granite Cutters, and Leather Workers on Horse Goods 
publish the names and addresses of employers who conduct 
strictly union establishments, and do not prohibit their 
members from writing to employers for employment. 

In all trade-union journals there is a great amount of 
correspondence from the local-union secretaries and busi- 
ness agents. In those unions which have a relatively small 
number of local unions there is opportunity for all localities 
to be represented, but in some of the larger building-trades 
unions, for example, the Carpenters, Painters, and Brick- 
layers and Masons, this is not feasible. These reports from 
the local unions generally contain information as to the state 
of trade, the number of members employed and unemployed 
and the prospects for employment. In some cases this cor- 
respondence is very valuable to the members who wish to 
secure employment. Among the journals which serve the 
purpose very well, those of the following unions may be 
cited : Photo-Engravers, Bookbinders, Printers, Flint Glass 
Workers, Granite Cutters, and Bridge and Structural Iron 
Workers. For the information of those members who may 
desire to write to the business agent or secretary of a local 
union as to the chances for employment in other localities, 
32 of the 80 trade-union journals print lists of local-union 
secretaries and business agents with their addresses. 

Several of the subdivisions of the national unions, such 
as state conferences and districts councils, have attempted 
to devise means by which information concerning the state 
of trade could be conveyed to the unemployed. Among the 
building-trades unions, conferences are formed in the vari- 

34 Stone Cutters' Journal, May, 1915, p. 1. 



88 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ous States, composed of the local unions. The Bricklayers 
and Masons have 25 such conferences, while the Painters 
have 17 and the Carpenters 10. The Texas State Council 
of Carpenters sends to each of its members a monthly report 
of the number employed and unemployed, the prospects for 
employment, and the number of men wanted in each local 
union. 35 The Massachusetts State Conference of Brick- 
layers and Masons also publishes monthly reports of the 
condition of trade in each local union. 36 

Some of the districts of the unions have gone further than 
simply publishing the condition of trade, and have estab- 
lished employment bureaus. Thus, the New England Typo- 
graphical Union and the Indiana Typographical Conference 
have conducted employment bureaus for several years, and 
President Lynch of the Printers says they have produced 
results "to the satisfaction of affiliated unions and their 
members." 37 The district vice-presidents of the Lithog- 
raphers receive applications for employment and requests 
from the employers for workmen. Vice-President Lawrence 
reported that in 1906 he had succeeded in supplying the em- 
ployers in his district with workmen from the five hundred 
applications which he had received during the year from 
unemployed members. 38 Frequently several local unions of 
a trade will conduct an employment bureau in common. 
Thus in 191 5 the railroad divisions of the Sheet Metal 
Workers established an employment bureau in St. Louis, 
Missouri. 39 This practise exists to a certain extent among 
the pattern makers and in some other unions. It may be 
said that while these subdivisions of the unions do not gen- 
erally cooperate very readily with one another in employ- 
ment matters, they serve in some degree by their connec- 
tions to direct the unemployed to localities in which work 
can be secured. 

35 The Carpenter, September, 1906, p. 40. 

36 Bricklayer and Mason, May, 1908, p. 70. 

37 Proceedings, 1912, p. 21. 

38 Proceedings, 1906, p. 193. 

39 Sheet Metal Workers' Journal, October, 191 5, p. 399. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 89 

In those unions which do not maintain employment bu- 
reaus at the national headquarters, additional workmen are 
generally secured by one local union's writing or telegraph- 
ing to other local unions. This method is largely employed 
by the building-trades unions. When New York City is in 
need of additional building-trades mechanics, either Phila- 
delphia, Baltimore, Boston, Albany, or Pittsburg is notified 
of the shortage of men. Sometimes, as is the case with the 
Elevator Constructors and Bridge and Structural Iron 
Workers, the business agent telegraphs to the local union 
of a nearby city to send a certain number of men, with the 
understanding that these men will be guaranteed employ- 
ment if they come. The following letter, which was printed 
in the Bridge and Structural Iron Workers' Journal, was 
written by the business agent of Salt Lake City, and illus- 
trates the methods in force. " I received a telegram from busi- 
ness agent Hendricks of Los Angeles asking me if I could 
furnish eight men for the San Pedro at Calientes, Nevada. I 
replied that I could send as many men as was needed. I 
received another telegram to send eleven men, so I sent 
them out on the 24th on the bases of $4.50 for nine hours 
and transportation expenses." 40 

But the greater part of the movement of trade unionists 
in search of employment does not result either from the 
activities of the union employment bureaus or through the 
notification of one local union by another that men are 
needed. The ordinary member realizes that local unions 
do not generally send for additional men until the pressure 
from employers forces them to do so. He knows that there 
are numerous instances in which other local unions are not 
notified of opportunities for employment even after the em- 
ployers register their wants. Therefore, workmen keep in 
communication with one another and when the prospects 
are good, those who are cognizant of the fact notify their 
friends. Many workmen also write to the various business 
agents and local union secretaries to inquire about the pros- 

40 The Bridgemen's Magazine, July, 191 1, p. 448. 



90 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

pects for employment. This is the manner in which the 
unemployed, who are not habitual "travelers," generally 
secure their information. At times the local union secre- 
taries complain that they are compelled to answer too many 
letters. The Washington business agent of the Bridge and 
Structural Iron Workers reported in 1904 that he received 
an average of four letters each day from members asking 
for information concerning the prospects for employment. 41 
Other workmen write to their friends in other cities inquir- 
ing as to the conditions of trade. 

We have outlined, so far as ascertainable, the methods of 
those unions which have attempted to devise means for 
giving information to the unemployed which will enable 
them to find employment in other places. There are in the 
United States over 125 national unions. Of these, we have 
found that only 14 maintain employment bureaus. And of 
these 14 bureaus, only seven can be said to possess merit. 
The value of the others to the unemployed is negligible. 
Numerous reasons have been advanced by trade unionists 
for the lack of success of the employment bureaus which 
have been established, and for the fact that the other unions 
do not even attempt to provide means for the dissemination 
of a knowledge of trade conditions. The failure of Ameri- 
can unions to solve the problem of transferring their mem- 
bers from localities in which trade is poor to those in which 
work can be secured is chiefly attributable to the selfishness 
of the local unions There are very few trades in which 
traveling members do not receive a cool welcome from the 
local unions in which they deposit their cards. The mem- 
bers of a local union look upon the work to be done in their 
community as belonging to them, and they resent any in- 
trusion upon the part of non-residents. Although this at- 
titude is contrary to the doctrines of unionism, the greater 
number of union officials concede its existence. It is this 
spirit which has made it impossible to induce the local unions 
of the Bricklayers and Masons, the Cigar Makers and vari- 

41 Ibid., August, 1904, p. 28. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 91 

ous other unions, to report to other localities when men were 
needed. 

Even when additional men are in great demand the local 
union will not attempt to obtain members from other locali- 
ties. The secretary of the Bricklayers and Masons in 1901 
said : " The local unions would rather allow non-union men 
to be employed at periods of prosperity than secure outside 
union men, for fear that the latter would stay in town after 
the busy season was over, and thus there would be less 
work per capita for the members." 42 Many devices besides 
the use of non-union workmen are practised in order to 
minimize the demand for workmen from other cities. Over- 
time is frequently worked and it has been said that the men 
will perform work which would ordinarily require the serv- 
ices of more men. The editor of the Bookbinders' Journal, 
in remarking upon the selfishness of the local unions, said: 
"I dim. confident that the spirit of home-guardism has been 
and still is detrimental to our interests, and best shows a 
clannish spirit which often keeps an extra man out of a 
shop while a crew of five men will go on and do the work 
of a crew formerly consisting of six men/' 43 

The local unions have not been content with denying to 
non-residents the knowledge of trade conditions, but have 
also enforced rules which are designed to make it more 
difficult for the traveling members to gain admission to the 
local union. Many of the local unions of the Bricklayers 
demand the sum of $5.00 before traveling cards are ac- 
cepted. 44 

Some local unions have gone even further, according to 
the secretary of the Electrical Workers, who says that in 
191 5 complaints were received that the local unions in some 
localities had refused to accept traveling cards on any con- 
dition. 45 Secretary Skemp of the Painters reported to the 
convention of 191 5 that there was a " growing disposition to 

42 The Bricklayer and Mason, September, 1901, p. 1. 

43 International Bookbinder, June, 191 1, p. 238. 

44 The Thirty-fifth Annual Report of the President and Secretary, 
1900, p. 128. 

45 Electrical Worker, August, 1914, p. 370. 



92 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

deny traveling members the right to deposit clearance cards," 
and that "all kinds of schemes are devised and excuses 
invented to keep the stranger without the gate and reserve 
the work for the resident member. 45 

Even after the traveling member has gained admission, 
he is not infrequently discriminated against. The local 
unions, in many cases, manage so that resident members 
shall be given preference over traveling members when em- 
ployment is offered. It is a well known fact that in the 
building-trades unions of New York, Chicago and several 
other cities the non-resident member has small chance of 
securing work until the business agent has placed the resi- 
dent members. A national rule of the Cutters in the Flint 
Glass Workers gives preference to local workmen.* 7 and 
there have been cases in the Marble Workers 48 and in other 
unions where traveling members who had deposited their 
cards and had received employment were forced by the 
business agent to transfer to another city in order to " make 
room for resident members who were unemployed." 

The exclusiveness of the local union is not always due to 
the desire to retain all work for the resident members. Fre- 
quently a local union desires to make demands upon the em- 
ployers for an increase of wages or for better working condi- 
tions, and a time when the locality is in need of additional 
men offers a favorable occasion for the local union to en- 
force its demands. At such a time the local union does not 
want the information that employment conditions are good 
to reach other localities, and consequently it will try to keep 
the traveler from the city. 

If the trade unionist has secured, through the aid of the 
agencies described above, or otherwise, information as to 
where he will be able to secure employment, there remains 
the problem of getting to the place where employment may 

46 Report of General Officers to the Eleventh Convention, 1913, 
p. 71. 

47 Rules of the Cutters, No. 22, in Proceedings of the Flint ijlass 
Workers. 191 1. p. 143. 

48 Proceedings, 1913. p. 163. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 93 

be had. The knowledge that a position can be secured in 
another city is of no value to a workman unless he is able 
to make the transfer. Inasmuch as the distances to be 
traversed in some cases require the expenditure of a con- 
siderable sum of money, the workman sometimes finds him- 
self unable to go. 

In some trades the employers advance traveling expenses, 
but this is not usual. Only in periods of great prosperity 
are such instances general. Thus in 1901, during a scarcity 
of granite cutters in the East, a firm in Hall Quarry, Maine, 
furnished transportation expenses to twenty men from Ray- 
mond, California. 49 But in a normal season employers of 
granite cutters do not advance expenses to their workmen. 
In some unions, such as the Elevator Constructors and 
Bridge and Structural Iron Workers whose members are 
taken by the employers from one city to another, the ex- 
penses are paid by the employers. As a general rule, how- 
ever, the workmen are forced to rely upon their union or 
their own resources for traveling expenses even when they 
are engaged by an employer in another locality. 

Only in a small percentage of cases are workmen assured 
of employment before the actual transfer is made. They 
may have been led to expect work at such and such a place, 
but it is usually only after their arrival that they obtain em- 
ployment. In these cases the workman can not look to the 
employer for transportation expenses. If he is unable to 
pay the expense, his recourse must in most cases be to his 
union. 50 Many of the unions have considered it their duty 
to furnish members who desire to travel with the necessary 
transportation expenses, either as a loan or a gift. 

The following table shows the amounts which have been 
expended for this benefit since 1903 by those unions which 
report to the American Federation of Labor. 

49 Granite Cutters' Journal, August, 1901, p. 5. 

50 Some of the railroad systems have agreed to give transporta- 
tion to members of the Brotherhoods who are unemployed and are 
traveling in search of work, provided they have been engaged by a 
common carrier within the previous ninety days. This is done under 
a provision made by the Interstate Commerce Commission (Loco- 
motive Engineers' Journal, January, 191 5, p. 44). 



94 



UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



Amounts Paid as Traveling Loans and 


Benefits 


Year 


Amount 


Year 


Amount 


1903 
1904 
1905 

1906 

1907 

1908 


$84,891.58 
73,441.90 
62,989.71 

57,340-93 
53,598.86 
51,093-86 
5I,967-87 


I9IO 
I9II 
1912 

1913 
1914 

1915 


#42,999.55 
58,78471 
40,571.02 
33,693.10 
54,404.90 
70,346.70 


1909 


Total 


$746,122.69 



The systems of traveling loans and benefits in American 
trade unions have been, generally speaking, failures. At one 
time or another the following unions have paid traveling 
loans or benefits: Cigar Makers, Flint Glass Workers, 
Granite Cutters, Leather Workers on Horse Goods, Lithog- 
raphers, Machinists, Typographia, and White Rats Actors. 
Only the Cigar Makers and Lithographers have maintained 
their systems to the present. 

During the earliest years of the Cigar Makers 5 Union 
members who desired to travel in search of employment 
were granted loans by the local unions. As no great efforts 
were made by the local unions to which the members trans- 
ferred to collect these loans, the system of loans from local 
unions was superseded in 1867 by a system established and 
maintained by the national union. 51 Under this plan an un- 
employed member was entitled to a loan sufficient to take 
him to the nearest union. The loan was to be repaid to the 
local union in which the member secured employment in 
weekly installments to the amount of twenty per cent of the 
member's earnings. 52 The carelessness of the secretaries 
in collecting these loans made the system an absolute failure 
and it was abolished in 1878. 53 

The local union of Warren, Pennsylvania, then proposed 
that the National Union maintain a "traveling fund" for 
the purpose of aiding traveling members. This aid was to 
be a gift and not a loan, but the measure failed of adoption. 

51 Proceedings, 1867, p. 155. 

52 Constitution, 1867, art. 11. 

53 Cigar Makers' Journal, October 5, 1878, p. 3. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 95 

However, in the following year Secretary Samuel Gompers 
of the New York local union proposed a new plan which 
was adopted by referendum vote. 54 It provided that any 
member in good standing for six months who was unem- 
ployed and desired to travel was entitled to a loan sufficient 
for tranportation expenses by the cheapest route to the 
nearest local union, and so on to the next union, until the 
loans reached the sum of $20.oo. 55 The amount of any one 
loan was limited to $12.00 in 1884, 56 and in 1896 it was 
further reduced to $8.oo. 57 The system in operation at 
present provides that members who desire to obtain traveling 
loans must have been in good standing for one year. After 
obtaining employment the borrower must pay to the col- 
lector of the shop in which he is employed ten per cent of 
his weekly earnings until the loan is repaid. 58 

The Granite Cutters established a traveling loan system in 
1880, three years after the organization of the national 
union. It provided that any member in good standing for 
at least six months who was not able to obtain employ- 
ment and wished to transfer to another local union was 
entitled to a loan of not more than $10.00. It was neces- 
sary for the borrower to secure two members in good stand- 
ing to become security for him, and the loan was to be 
repaid in installments of ten per cent of the weekly earn- 
ings. 59 In 1888 the latter provision was changed so that 
the member was required to pay the loan in installments of 
twenty-five per cent of his weekly earnings. 60 From the 
outset the system was a failure on account of the difficulty 
in securing payment of loans. It was thought that the pro- 
vision that those acting as security for the loans should be 
held responsible would prove a safeguard. But in 1891 the 
secretary said that the majority of the members " regarded 

54 Ibid., August, 1879, p. 2. 

55 Constitution, 1880, art. 4. 

56 Constitution, 1884, art. 7. 

57 Constitution, 1896, art. 27. 

58 Constitution, 1912, sees. 104-116. 

59 Constitution, 1880, art. 43. 

60 Constitution, 1888, art. 33. 



96 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

vouching as an empty formality " as was shown by the 
number of loans then unpaid. 61 President Duncan states 
that the abuses finally became so flagrant that the entire 
system was abolished in 1897. There were instances in 
which three members would unite for the purpose of secur- 
ing loans. Each would secure a loan with the other two 
as security, and in many cases none of the money was re- 
paid. 62 In March, 1902, five years after the abolition of 
the system, the secretary published a list of loans amounting 
to several thousand dollars which were still unpaid. 63 

The history of the traveling loan in the Flint Glass Work- 
ers is much the same. During the earliest years of the 
union the unemployed who desired to travel in search of 
employment were furnished transportation by the national 
union. The applicant was required before a loan was 
granted to submit satisfactory evidence that he had secured 
a position. The system proved a complete failure. Secre- 
tary Kunzler reported to the convention of 1896 that some 
members had procured loans by means of false telegrams 
and letters which purported to show that there were jobs 
at some place ready for them. He also said that of the 
$10,000 which had been loaned from 1885 to J 896 only 
eighteen per cent had been repaid. 64 

At various conventions the union adopted rules which it 
was thought would safeguard the union against unauthor- 
ized loans, but the traveling members always succeeded in 
evading them. During the years preceding 1902 the system 
was still further abused and the loans became in reality gifts. 
Secretary Dobbins reported to the convention of 1902 that 
of the $3,376.04 loaned during 1 the previous year only 
$975.53 had been repaid, and a large part of the sum re- 
ceived was deducted from strike benefits and bills sent to 
the office for personal services. He said that members still 
persisted in sending to the union letters and telegrams 

61 Granite Cutters' Journal, April, 1891, p. 4. 

62 Letter to the writer, October 20, 1915. 

63 Granite Cutters' Journal, March, 1902, p. 14. 

64 Proceedings, 1896, p. 87. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 97 

written by one member to another telling him to come on 
immediately as there was a job awaiting him, but in the 
majority of cases the member never transferred to another 
city. 65 At this convention the membership became so 
aroused over the granting of illegal loans that there was a 
movement to abolish the whole system, but it did not suc- 
ceed. 66 

At the convention in 1904 several new provisions were 
adopted. The national secretary was to loan no money to 
members except for transportation expenses and then only 
when the applicant had a letter or telegram from an em- 
ployer or local union to prove that the member was guar- 
anteed a job. The member securing the loan was required 
to sign a promissory note for the amount borrowed and was 
to pay ten per cent of his earnings until the loan was repaid. 
The national secretary was to notify the trade by circular 
of the loans granted and the local unions were held respon- 
sible for the debts of their members. 67 As a result of these 
rules a greater percentage of the loans were repaid, and 
there was a great increase in the amounts loaned. The union 
was still unable to force many local unions to collect the 
loans and in several instances local unions were not per- 
mitted to send delegates to the convention because they 
were not prompt in the collection of loans. Frequently, 
delegates to the conventions were found to be the worst 
offenders. In April, 1907, the national secretary issued a 
pamphlet containing the names of 1304 members who had 
borrowed an aggregate sum of $24,000, an average of more 
than $18. Several months later, the secretary reported that 
he had succeeded in finding only 109 of the debtors. When 
this was reported to the convention there was little opposi- 
tion to the abolition of the entire system of traveling loans. 68 

During the next few years the traveling members waged 
a campaign for the reestablishment of the loan system and 

65 Proceedings, 1902, pp. 127, 128. 

66 Ibid., p. 203. 

67 Proceedings, 1004, pp. 229, 230. 
63 Proceedings, 1907, pp. 93, 174. 

7 



98 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

this, coupled with the scarcity of men in some places, led to 
a reconsideration at the convention in 1910. It was said 
that the abolition of the system had "worked a hardship 
upon our members in not being able to secure transporta- 
tion from one locality to another and that it has caused 
many complaints from manufacturers on account of many 
places standing idle in their factories." The convention 
reestablished the system with entkely new rules. 69 It was 
provided that a member should have been unemployed for 
two weeks and must be free of any indebtedness to the union 
before he was entitled to a loan. He was required also to 
show a letter from the employer or local union to prove that 
he was guaranteed a position. After securing employment 
ten per cent of his earnings were to be paid until the loan 
was repaid. A local union which accepted the card of a 
member who had borrowed transportation expenses and 
failed to collect ten per cent of his earnings was held re- 
sponsible for the debt. 70 

During the first year of operation only thirty-five per cent 
of the loans were repaid and the abuses which characterized 
the old system soon reappeared. 71 The national officers 
were powerless to prevent the granting of illegal loans and 
were unable to force the local-union secretaries to collect 
the loans when made. The abuses became so flagrant that 
the system was again abolished at the convention in 191 3, 72 
and no loans have been granted since January 1, 1914. 
However, at the convention in 191 5 there was a movement 
for its reestablishment, but owing to the strong opposition 
of the officers the motion failed of adoption. 73 

The White Rats Actors established in 1912 a system of 
traveling loans which was not unlike that of the Flint Glass 
Workers. Only those members who could show an " en- 
forceable contract with a responsible manager for an en- 
gagement" were entitled to a loan. The borrower gave a 

69 Proceedings, 1910, p. 143. 
™ Ibid., p. 153. 

71 Proceedings, 1912, p. 216. 

72 Proceedings, 1913, p. 292. 

73 Proceedings, 1915, p. 315. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 99 

promissory note for the amount loaned and agreed to repay 
the same out of the first week's salary. If he failed to re- 
pay the loan, the union attached his wages. 74 With such 
precautionary measures it was thought that very few losses 
would result. During 191 2 there was loaned $32,000, of 
which $14,155 was outstanding in April, 1913. 75 During 
the next two years about $60,000 was loaned and the amount 
which was not repaid of the loans granted during the 
three years of the operation of the system was $14,000. 
Thus the union lost fifteen per cent of the amount loaned. 
The members decided that the system was costing too much 
in proportion to the benefits received and abolished it in 
August, 191 5- 76 

The Leather Workers on Horse Goods established a trav- 
eling loan system when the union was organized in 1896. 
It was provided that an unemployed member could obtain 
from a local union a loan sufficient to transport him to the 
nearest branch in the direction he wished to travel. The 
first loan was not to exceed $12.50 while the total amount 
which could be borrowed in any year was $21.00. The loan 
was to be repaid in installments of fifteen per cent of the 
member's weekly earnings. 77 Flagrant abuses soon crept in 
and the president frequently notified the local union secre- 
taries that many illegal loans were being granted and only 
a small percentage of loans were being repaid. But no 
improvement resulted from the publicity given to the abuses, 
and the system was abolished in October, 1904. 78 

The Machinists, soon after the union was organized, also 
established a traveling loan system. The loans were granted 
by the local unions and it appears that they suffered all 
losses. It had been expected that the local unions would 
be careful in granting loans and in seeing that they were 
repaid. In 1895 the president reported that during the two 

74 Constitution, 1912, art. 14, sec. 1. 

75 Letter from Secretary W. W. Waters to the writer, April 22, 
1913. 

76 Letter from Secretary to the writer, November 8, 191 5. 

77 Constitution, 1896, art. 4, sec. 1. 

78 Leather Workers' Journal, January, 1905, p. 252. 



IOO UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

previous years $5,000 had been loaned, and the system had 
"been unmercifully abused." 79 During the next two years 
$6,124 was loaned to traveling members. Only a small 
amount was ever repaid. This was due, the president said, 
to the fact that there was no provision as to the limit of time 
for the payment of the loans. 80 At the convention in 1897 
it was provided that the loans must be repaid within ten 
weeks after they were granted. 81 The unemployed mem- 
ber was not granted a loan unless his dues had been paid 
to date, and the amount that could be borrowed at any one 
time was not to exceed $5.00, nor could any further loan be 
secured until the previous one had been repaid. The finan- 
cial secretary of the local union to which the member trav- 
eled was required to collect the sum borrowed and forward 
it to the local union which granted it. The system failed 
completely. In 1903 President O'Connell said that only a 
small percentage of the loans were repaid, that the system 
had tended to encourage dishonesty, and that it had caused 
an unlimited number of disputes among the local unions. 
For these reasons he recommended that it be abolished. 82 
The convention in 1903 decided that no further loans would 
be granted after July 31 of that year. 83 

The system of traveling loans of the Lithographers is 
similar to that of the Machinists in that the loans are made 
by the local unions and all losses are met by the local unions. 
The national constitution provides that any member who 
desires to travel in search of employment, and is in need 
of financial assistance shall make application to the local 
union for a loan. The local executive board investigates 
the application and grants the loan if the member appears 
worthy. The amount of the loan is entered in the member's 
dues-book and it is the duty of the secretary of the local 
union to which the member transfers, to collect the loan and 

79 Proceedings, 1895, p. 12. 

80 Proceedings, 1897, p. 8. 

81 Constitution, 1897, art. 10, sec. 3. 

82 Proceedings, 1903, p. 402. 

83 Ibid., p. 531. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN IOI 

return it to the local union which granted it. 84 No statistics 
are available as to the amounts which have been loaned and 
collected during the existence of the system, but it is said 
that the members make considerable use of it. 

The Deutsch-Amerikanischen Typographia established its 
traveling benefit in connection with an out-of-work benefit 
in 1884. 85 This system differed from others in that the 
traveling member was given the transportation expenses as 
a gift and not as a loan. An unemployed member in good 
standing for six months was entitled to two cents per mile 
for the first two hundred miles and one cent for each addi- 
tional mile he wished to travel, provided that the total sum 
did not exceed $10. After spending three months in the 
local union to which he traveled he was entitled to trans- 
portation expenses to another local union, but he could not 
draw more than $25 in one year. If a member became un- 
employed through his own fault, he was not entitled to the 
benefit for three months, and if the position had been given 
up voluntarily, he could not receive the benefit unless the 
executive council of the local union approved his action. 
Those who drew the traveling benefit were supposed to 
transfer at once to another city or return the amount re- 
ceived. Although the benefit was free, it appears never to 
have been greatly utilized. For example, in 1907 there were 
only fifteen members who applied for benefits totaling 
$104.60. The system was abolished in 1908. Secretary 
Miller explains that this was on account of the flagrant 
abuses of the benefit by the members. He says that mem- 
bers living in Chicago and the Middle West when going on 
a vacation trip to the East or to Europe would draw the 
maximum benefit. In short, he says, the benefit was used 
as a means of partly defraying the expenses of members on 
"holiday trips." 86 

At the Painters' convention in 1910 there was a move- 

84 Constitution. 1913, art. 20, sec. I. 

85 Letter from Secretary Hugo Miller to the writer, October 19, 

1915. 
8 <5 Ibid. 



102 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ment to provide traveling members with a loan of not more 
than $10, but the proposed plan received little attention. 87 
The Bricklayers and Masons in 1873 88 and the Plumbers in 
1908 89 also considered the advisability of establishing a 
traveling loan system, but both proposals failed of adoption. 
At the Typographical convention in 1889 there was proposed 
a traveling loan of two cents per mile, but it was defeated. 90 

In those unions which have not established a national trav- 
eling loan system, some of the local unions maintain funds 
from which the members who desire to travel may secure a 
loan, or from which the "traveler" may secure a gift of a few 
dollars to aid him in transferring to another city. If a mem- 
ber is assured of a job or has fair prospects of securing 
employment in another city, there is scarcely a local union 
in any trade which will not advance him the necessary trav- 
eling expenses. But if the member applying for a loan is 
a "traveler," or has little prospect of securing employment 
in another city, the local unions do not always grant the 
loan. Generally the amounts of the loans are entered in the 
members' dues-books and the local unions in which the 
card is deposited are supposed to collect the loans and return 
them to the local unions which granted them. 

The systems of traveling loans and benefits have failed 
largely because they have induced needless traveling through 
the administrative inefficiency of the local-union secretaries. 
During the first year's operation of the Cigar Makers' sys- 
tem, the condition of trade was bad all over the country. 
The members were told that there were no jobs to be had 
in any city, 91 but since the traveler could secure a loan from 
the union many went in search of work. A traveling loan 
system is socially injurious when a workman can secure a 
loan despite the fact that there is no work for him to do in 
the locality to which he transfers. The union works a hard- 
ship upon its members when it grants loans without first 

87 Proceedings, 1910, p. 44. 

88 Proceedings, 1873, p. 27. 

89 Proceedings, 1908, p. 91. 

90 Proceedings, 1889, p. 124. 

91 Cigar Makers' Journal, July 10, 1881, p. 1. 



UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 103 

directing members to places where employment may be had. 
For many years the English trade unions granted traveling 
benefits in the same manner as do the American unions, that 
is, without ascertaining whether the member was going to 
improve his condition by transferring. Within recent years, 
however, the English system has undergone a considerable 
change, and traveling loans and benefits are now granted 
chiefly to those for whom employment has been found in 
another city. Since traveling loans are now granted in the 
United States chiefly by the local unions, which usually 
demand that the applicant shall be assured of employment 
before the loan is granted, it is probably true that the trav- 
eling loan is now somewhat more useful than before. 

Another cause of the failure of the traveling loan systems 
was the granting of unauthorized loans. Although the 
unions had generally provided apparently stringent rules 
for the administration of the system, many unauthorized 
loans were granted. Among the Cigar Makers this abuse 
appeared at an early date. In 1881 the secretary remarked 
that he knew of many members who had drawn loans and 
never left their homes, and of others who claimed money 
for a distance of two hundred miles and did not go farther 
than fifty miles. 92 The local union secretaries became so 
careless in the matter of granting loans that the union made 
a rule that secretaries who granted unauthorized loans were 
to be fined $5. In June, 1884, twenty-one secretaries were 
fined. 93 The loan systems of the German Printers, Granite 
Cutters, Flint Glass Workers, Leather Workers on Horse 
Goods, Machinists, and White Rats Actors were abolished 
primarily on account of the abuses in granting loans. It 
seems that the local-union secretaries granted loans in prac- 
tically all cases, simply trusting that, as the loan was entered 
in the members' dues-books, the local unions to which they 
traveled would collect the money. 

Through the carelessness of the secretaries in the admin- 
istration of the systems the amounts of loans which were 

92 Ibid., p. 1. 

93 Ibid., July, 1884, p. 3. 



104 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

not repaid were very large in some cases. During the 
thirty-five years existence of the Cigar Makers' system, 
there has been expended $1,337,271, or an average of 
$38,207 each year. The amount loaned per capita has 
varied from 63 cents in 1880 to $348 in 1884, and has aver- 
aged during the period $1.50. On the first of January, 
191 5, there were outstanding loans to the amount of $109,- 
220.31. President Perkins states that of this sum about 
one-half is collectible. 94 Thus the cost of the system for 
thirty-five years has been about $55,000, an average annual 
per capita of 8 cents. The Flint Glass Workers have not 
expended nearly so much on their system as the Cigar 
Makers. During the ten years in which loans were granted, 
the sum of $37,821 was expended, an average of $3,782. 
The amount loaned per capita varied from 10 cents in 1914 
to 73 cents in 1907, and the average annual per capita ex- 
penditure was 50 cents. When the system was abandoned 
the sum of $15,589 was outstanding. Since only a small 
percentage of this was collectible, the annual average net 
cost per capita was $1.50, or twenty times the cost to the 
Cigar Makers. The Leather Workers on Horse Goods 
loaned during the seven years in which the system was in 
operation the sum of $17,063. The annual per capita ex- 
penditure was 57 cents, and the loans outstanding when the 
system was abolished amounted to $2,526. Thus the an- 
nual average per capita cost was less than 9 cents, or about 
the same as that of the Cigar Makers. In the Typographia. 
despite the fact that the benefit was a gift, the cost was very 
small. During the twenty-four years' operation of the 
benefit the sum of $8,376 was expended. The average an- 
nual per capita cost varied from 10 cents in 1907 to 61 
cents in 1885 and only averaged 31 cents for the entire 
period. 

The following tables give the cost and other financial 
details of the systems in the Cigar Makers, Typographia, 
Flint Glass Workers, and Leather Workers on Horse 
Goods. 

94 Letter to the writer, October 19, 1915. 



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UNION AGENCIES FOR DISTRIBUTION OF WORKMEN 107 

In conclusion, there are certain definite hindrances to the 
movement of union workmen from one city to another which 
very largely nullify in some unions the attempts to promote 
a better distribution of labor. As has already been noted, 
many unions have delegated to their local unions the power 
to fix the amount of the initiation fee. They have also 
provided that a member transferring to a local union in 
which the initiation fee is greater than in the city from 
which the member transferred must pay the difference be- 
fore his card is accepted. Members of the Carpenters 95 
and Painters 96 of less than one year's standing are obliged 
to pay such differences when they travel from one city to 
another. Since some local unions have established high 
initiation fees in order to discourage members from travel- 
ing, the amount to be paid before a working card can be 
obtained is sometimes sufficient to deter members from 
transferring. 

Another condition which operates to hinder transference 
in those unions which have only local systems of death and 
sick benefits, is that a member transferring from one local 
union to another forfeits all claims to benefits in the union 
from which he goes unless he pays the dues and assessments 
to that association, and does not become a beneficiary in the 
local union to which he transfers until he has been a mem- 
ber for a certain period, generally one year. 

The rules governing seniority rights and privileges, which 
were discussed in a previous chapter, have a marked effect 
upon the transference of workmen. Indeed, in some unions 
this system has made traveling a negligible factor. Thus, 
President Carter of the Locomotive Firemen and Engine- 
men says that members of this union rarely transfer from 
one place to another or from one company to another unless 
they are among the last on the list. 97 A member who has 
been employed by a railroad for several years has usually 
secured favorable seniority rights and when laid off by the 

95 Constitution, 1913, sec. 106. 

e6 Constitution, 1913, sec. 50. 

97 Letter to the writer, October 19, 1915. 



108 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

company on account of depressed business conditions, hesi- 
tates to apply for employment in another division of the 
road or to another company because his seniority rights 
would not be recognized and he would be compelled to start 
at the bottom of the list, thus losing all he had gained dur- 
ing his former employment. Professor Barnett has pointed 
out how the priority rights of the Printers have operated to 
decrease mobility of labor because of the fact that the most 
efficient printer can not transfer his priority rights from one 
city to another or from one shop to another. 98 

The "permit" system, discussed in a previous chapter, 
was shown to have been conceived with the idea of controll- 
ing the number of members of the unions. Although this 
is the primary reason for its existence, the local unions have 
succeeded in utilizing it to prevent the movement of mem- 
bers from other local unions. These local unions when in 
need of men will not attempt to procure experienced work- 
men from other localities, but will issue permits to inex- 
perienced "handy men." The local unions appreciate the 
fact that after employment slackens they can revoke the 
permits of the helpers, but where they have secured union 
members from other cities they probably could not get rid 
of them when employment became scarce. This phase of 
the permit system has come into prominence during the past 
few years. The Elevator Constructors at their convention in 
1904 provided that the local unions should apply to other 
cities for workmen before issuing permits," but it appears 
that this rule is violated. President Murphy recently stated 
that the local unions favored the permit system principally 
because they could provide the employers with sufficient 
men without procuring members from other cities. 100 The 
secretary of the Brewery Workers has said that the local 
unions, " due to their selfishness," used permit workmen in 
time of prosperity rather than apply for men from the 
nearby cities. 101 

98 Barnett, The Printers, p. 241. 

99 Proceedings, 1904, p. 7. 

100 Interview, August, 1915. 

101 Proceedings, 1910, p. 160. 



CHAPTER V 
Distribution of Employment 

Unemployment due to contraction of demand may be 
either concentrated upon a part of the working force, or be 
distributed more or less equally among the entire working 
force. In both cases the aggregate wages will be the same, 
and the total amount of unemployment will not have been 
decreased. The difference to the individual workman, how- 
ever, is very great. It is obvious that if an employer ex- 
pends two dollars for labor, it would be socially more ad- 
vantageous to divide the employment between two other- 
wise unemployed workmen than to concentrate it upon one 
of them; there would be less suffering if each of the two 
had one dollar than if one man possessed the two dollars. 

It must be realized, however, that there are conditions in 
particular industries which tend to make the adoption of 
such a policy socially injurious. Thus, the longshoremen 
are confronted with the problem of having the work dis- 
tributed among too great a number of workmen. The pol- 
icy has also been disadvantageous^ used by the unions in 
certain trades in which machinery has displaced a great 
number of workmen, when they have attempted to so dis- 
tribute employment as to maintain the original working 
forces. 1 In such cases the problem is different and the 
policy of equal distribution of employment is open to criti- 
cism. But where the contraction of demand is due to tem- 
porary fluctuations, equal distribution of employment meets 
with but few' valid objections. 

The distribution of employment is accomplished chiefly 
in the following ways: (i.) Reduction of the working hours 
per day or week of the entire force of workmen. (2) Di- 

1 Typographical Journal, March, 1915, p. 456. 

109 



HO UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

vision of the working force into groups, each working the 
normal day or week in rotation. (3) Reduction of the 
working hours to a certain point, after which the smaller 
amount of employment is met by a dismissal of workmen. 
In some trades one of these methods exists, while in others 
two or three of them are found side by side. It will be 
the aim in this chapter to inquire as to the extent to which 
these various methods are utilized in the more highly or- 
ganized trades and the influence of the union in bringing 
about their adoption. 

The first method — the working of short time — exists as 
a general custom in the following unions : United Mine 
Workers, Western Federation of Miners, Ladies Garment 
Workers, United Garment Workers, Tailors, Cloth Hat 
and Cap Makers, Textile Workers, Glove Makers, Hatters, 
Potters, Flint Glass Workers, and Iron, Steel and Tin 
Workers. It is not to be inferred that short time is not 
used in other unions, because, as will be pointed out later, 
this method exists, to a certain extent, in almost every trade. 
But it is only in the unions named that the practice is in 
force throughout the jurisdiction of the unions. 

The United Mine Workers and the Western Federation 
of Miners have probably a more effective system of sharing 
work than that practised in any other union. W T hen the 
operator has secured a force of miners sufficient to prop- 
erly work his mine in the busy season, he is rarely allowed 
to reduce this number on account of a slackened demand 
for coal. He is obliged to give to every workman an equal 
number of hours' work in the mine. As the dull season 
approaches, he reduces the number of days to be v/orked 
each week. When the demand for coal is not sufficient to 
justify the working of a full day, then only a certain num- 
ber of hours are worked. In any event, each workman 
must be given the same number of hours of employment. 
In consequence of these demands of the union and of the 
seasonal character of the industry, the mines are idle dur- 
ing many days of the year. In the period 1900-1910 the 



DISTRIBUTION OF EMPLOYMENT III 

number of idle days in the anthracite fields varied from 71 
in 1910 to 184 in 1902, and in the bituminous fields from 
66 in 1907 to 107 in 1908. 2 Although this system was gen- 
erally in force before the miners became strongly organized, 
and is at present the rule in a number of non-union mines, 
the foremen under non-union conditions were always at lib- 
erty to discharge a man when a reduction of the working 
force was desired. The union now passes judgment upon 
discharges, and the employer must prove that other reasons 
than the desire to reduce the working force are the cause of 
the discharge. 

Not only does the union demand an equal distribution of 
working time, but " every mine worker shall be given work 
in his turn when applying for same." 3 Obviously, the fore- 
man might allow every man to descend into the mine, but 
could place them in such a position that some would secure 
only a few cars each day. There have been instances where 
a miner stayed in the mine all day and never got a pit car 
to load. The rule was devised not to equalize the miners' 
earnings or to limit the output but to give every man an 
equal opportunity to work. In mines where both machine 
and pick miners are used the union has obtained a rule that 
whenever the machines are operated and the pick miners 
not employed, " such turn shall be given that will, as nearly 
as possible, equalize the earning capacity of the machine 
loaders and the pick miners." 4 

Where an operator closes down one of his mines and 
works full time in another, the union has not attempted to 
enforce any arrangement by which those unemployed 
through the closing of one mine may share in the working 
of the other ; but there has grown up in many mining com- 
munities a custom under which the work is divided. John 
Mitchell says of this custom: "This system of dividing 

2 United States Geological Survey : Mineral Resources of the 
United States, vol. 2, 1910, p. 42. 

3 1913 Agreement, Interstate Movement (Proceedings of the 
United Mine Workers, 1914, p. 44). 

4 Machine Scale in Arkansas and Oklahoma, 1912, sec. 7, in Pro- 
ceedings of the United Mine Workers, 1914, p. 71. 



112 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

employment is quite general in mining communities. If an 
employer closes down one of his mines and continues others 
in operation, the men in the mine that is working will invite 
their fellow unionists where work has been stopped to share 
their employment with them. That is to say, the men who 
retain their jobs will remain at home three days each week, 
allowing the men out of employment to take their places 
for the remaining three days." 5 

These various rules have resulted in such a thorough- 
going distribution of employment that it would seem as 
though nothing could better the distribution short of an abso- 
lute limitation on daily earnings. It has been suggested that 
these regulations have had a tendency to retain so great a 
number of workmen in the industry that the earnings are 
not sufficient for proper living conditions. On the other 
hand, the conditions surrounding the industry are such that 
a greater number of workmen are needed at certain seasons. 
In the anthracite fields, production is more nearly regular 
throughout the year in consequence of a sliding scale of 
prices to the consumer, while in the bituminous fields the 
coal can only be mined as needed, because the atmospheric 
effects upon this grade of coal are such that for domestic 
purposes it must be consumed shortly after it is mined. 
Consequently, in the winter months there is needed a rela- 
tively larger force of bituminous than of anthracite miners. 

The most significant case in which the policy of the unions 
towards the question at issue is revealed is in the garment 
industry. Since the signing of the agreement in 191 1 be- 
tween the Ladies Garment Workers and the employers of 
New York, the distribution of employment has been one of 
the chief contentions between the union and the employers' 
association. During the first nine months of the operation 
of the Protocol 186 of the 998 grievances submitted to the 
Board of Grievances were alleged discriminations in the 
distribution of work. From September to December, 191 1, 
53 of the 295 grievances were of the same character. 6 

5 The Bridgemen's Magazine, January, 1910, p. 12. 

6 Bulletin of the Bureau of Labor, No. 98, p. 230. 



DISTRIBUTION OF EMPLOYMENT II3 

Previous to 191 1, when the workmen were poorly organ- 
ized, the employer allowed the foreman in each department 
to distribute the work as best suited him. In one factory, 
the question of race decided who was to get the lion's share 
of the work ; in another, it was a question of favoritism or, 
perhaps, a bribe to the foreman. Some piece workers were 
allowed to work the entire day and far into the night, while 
others, who were reporting each day to the factory, were 
refused any employment. To remedy these conditions, the 
Ladies Garment Workers Union insisted in the conferences 
preliminary to the signing of the Protocol upon a more 
equitable distribution of employment, and secured a rule 
which requires the employer to divide employment, as far 
as possible, among all regular piece and time workers. 

The distribution takes the form of either short time or 
rotation of the workers. The manufacturers do not object 
strenuously to the application of this rule to piece workers, 
but have, by many subterfuges, attempted to evade its ap- 
plication to time workers. The difficulty has been the in- 
terpretation of the term "regular workmen." The union 
contends that this includes all who have been working for 
the employer, while the manufacturers claim that it only 
includes those who are employed during the slack seasons 
and does not include those taken on during the rush periods. 
In December, 1914, this question was submitted to the Board 
of Arbitration in the Cloak, Suit and Skirt Industry of New 
York. The Chairman, Mr. Louis D. Brandeis, gave the 
following decision: "Equal division of work is to be re- 
garded as desirable and as necessary in this industry ; for it 
must be acknowledged that it should be made possible for 
the people called into the industry, and who are regularly 
employed therein, to earn a reasonable livelihood." But as 
to what constituted a " regular " workman, the Board re- 
fused to give an interpretation, merely saying that this ques- 
tion " must be left to the judgment of men familiar with 
the particular facts, because the facts will vary in par- 
8 



114 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ticular cases." 7 Aside from this disputed question, the fifty 
thousand union ladies garment workers of New York are 
working under rules guaranteeing them a fairly equal dis- 
tribution of employment. In the Boston Protocol of 1913, 8 
and in the Philadelphia Protocol of 1914, 9 the union secured 
provisions for an equal distribution of work among its 
members. In other cities both the agreements with the em- 
ployers' associations and with individual manufacturers pro- 
vide for an equal division of employment. 

The United Garment Workers and the Tailors have in- 
sisted at all times upon an equal distribution of work among 
their members, but they have not met with the same success 
as the Ladies Garment Workers, doubtless on account of 
the lack of general agreements with employers' associations. 
In their agreements with individual manufacturers, these 
unions have generally obtained an equal distribution of em- 
ployment among the regular workmen; but with regard 
to what constitutes a regular employee, and as to when the 
workmen may be discharged on account of the reorganiza- 
tion of the factory, the unions and the employers have not 
been able to agree. Differences on these points have led to 
many strikes in the clothing industry. In Baltimore, in Au- 
gust, 1 91 2, three hundred men went on strike because the 
firm insisted upon laying off a pocket maker instead of dis- 
tributing the work among the fourteen members in this par- 
ticular department. In 1914 another Baltimore employer 
attempted to discharge a certain number of men on account 
of " a reorganization of the factory." In this case the union 
asked for a distribution of the work, which the employers 
refused and the consequence was a strike involving two 
thousand men. Wherever possible, the unions have at- 
tempted to induce the employers to work short time instead 
of discharging a portion of the working force, and they have 
recently secured the acceptance of this policy by many 
employers. 

7 Ladies Garment Worker, February, 1915, pp. 11-14. 

8 Ibid., May, 1913, p. 17. 

9 Ibid., October, 1914, p. 12. 



DISTRIBUTION OF EMPLOYMENT 115 

The Cloth Hat and Cap Makers have always insisted 
upon the employment in the dull seasons of all members who 
were in the working force in the busy season. The union 
has secured the establishment of this policy in all shops 
where the workmen are paid piece wages, but has been un- 
able to enforce it in the shops where time wages are paid. 10 
The Textile Workers Union recently demanded the incor- 
poration in their agreements with the manufacturers of an 
article providing for equal distribution of employment. 
There was but little opposition, and the movement has been 
generally successful. Even in non-union establishments the 
manufacturers have followed this policy for many years, 
although they do not always include the entire working 
force, and sometimes leave certain employees out of the dis- 
tribution. 

The Glove Makers, in all of their agreements with the 
employers, have secured provision for an equal distribution 
of employment in the dull seasons. The employers are re- 
quired to give to each piece worker not the same number of 
pieces but work which will yield equal wages. 11 While there 
is no written agreement between the Hatters and their em- 
ployers as to the distribution of work in slack periods, there 
is, as President Lawlor terms it, " a gentleman's agreement " 
that short time will be worked in the dull months, and no 
employee may be laid off on account of such dullness. 12 
One of the chief contentions in the great Danbury lockout 
of 1890 was over the distribution of work. The manu- 
facturers claimed that they should be allowed to regulate 
the distribution of employment, while the union claimed an 
equal division of work. 13 Since that time, with but few ex- 
ceptions, the policy of equal distribution of employment 
among the entire working force has been accepted in full by 
the employers. 

10 Interview with Secretary Zuckerman, August, 1915. 

11 Interview with Secretary Christman, August, 1915. 

12 Interview, August, 1915. 

13 The Sixth Annual Report of the Connecticut Bureau of Labor 
Statistics, Part V, p. 191. 



Il6 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

If the policy of equal distribution of employment is to be 
generally enforced in a trade, there is need for a strong 
organization of employers to deal with that of the workmen. 
In every trade there are certain employers who will accede 
to the demands of the union for the distribution of work ; 
but there are also others who, although they may agree to 
the standard rate, the normal day, and union working condi- 
tions, will not readily relinquish their right to hire, and dis- 
charge as they see fit. Consequently, there is a greater 
likelihood of finding the system of equal distribution of em- 
ployment widely enforced in those trades where the associa- 
tions of employers and workmen hold conferences and make 
agreements for the entire trade. The most striking ex- 
amples of systems of this kind are in the pottery and glass 
industries. 

The National Brotherhood of Operative Potters for many 
years unsuccessfully attempted to obtain the consent of the 
United States Potters' Association — the manufacturers of 
general ware — to incorporating in the agreements a rule 
requiring equal distribution of work among all employees. 
At the conference in 191 1 the manufacturers agreed to adopt 
this rule and to work short time in the slack seasons, instead 
of continuing the practice of concentrating the work upon 
those favored by the foreman. 14 The union also secured 
from the Sanitary Manufacturing Potters' Association at 
the conference in 191 2 a rule similar to that in force in the 
general ware department, except that the work was to be 
divided equally among workmen making the same class of 
ware. 13 For instance, if a manufacturer were to close en- 
tirely the lavatory ware department of his factory and retain 
jet makers at full time, the pressers in the former depart- 
ment would not share in the work. To this the union 
strongly objected, maintaining that as "the pressers are at 

14 Agreement between the United States Potters' Association and 
the National Brotherhood of Operative Potters, Atlantic City, New- 
Jersey, 1911, sec. 11. 

15 Agreement between the Sanitary Manufacturing Potters' Asso- 
ciation and the National Brotherhood of Operative Potters, 1912, 
p. 1. 



DISTRIBUTION OF EMPLOYMENT 117 

all times expected and, in fact, compelled to make any kind 
of articles given them," the work of the entire plant should 
be equally divided among all those competent to do it. 16 
The Potters on several occasions have struck to enforce the 
rule requiring an equal distribution of work. For example, 
in March, 191 4, the pressers in one of the Trenton potteries 
struck because several pressers had been discharged by the 
firm on the ground that the" force was larger than was 
needed. 17 In April of the same year the pressers in a pottery 
at Mannington, West Virginia, went on strike for reasons 
connected with the rule. 18 

In the Flint Glass Workers' Union the necessity for some 
rule under which its members might be guaranteed more 
continuous employment was early recognized. Glass fac- 
tories do not produce at maximum capacity during more 
than six or eight months even in the most prosperous years. 
In 1897 President Smith said that the existing custom was 
for the employers to lay off" a certain number of their work- 
men when trade slackened, and to retain on full time those 
who stood highest in the estimation of the foreman. Almost 
invariably the slow workers, or those who "had suggested 
that the employees have rights that should be respected," 
were among those laid off. This custom, in the opinion of 
the president, was so strongly entrenched in the trade by 
long usage that there was great doubt as to the possibility 
of establishing any better system. 19 However, the conven- 
tion of that year proposed that all departments should 
attempt to induce the employers to distribute fairly the 
work. 20 Since then each of the sixteen departments of the 
industry, at their conferences with the employers, have ob- 
tained rules providing for an equal distribution of work. 
Most of the agreements provide for distribution among all 
who are found competent, regardless of the class of work 

16 Proceedings, 1914, pp. 76-77. 

17 Potters' Herald, March 26, 1914, p. 2. 

18 Ibid., April 23, 1914. 

19 Proceedings, 1897, pp. 57-58. 

20 Ibid., 1897, p. 175. 



Il8 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

at which they were formerly employed. The cutters and 
mould makers, however, have less stringent rules. In the 
former department, the employer is allowed in a period of 
slackness to lay off the men engaged during a rush period, 
provided such employment was for less than four weeks. 21 
In the Mould Making Department an employer is required 
to share the work among all the working force except work- 
men who have not held their positions for six months. 22 

The rule has led to many disputes between the employers 
and the union, and even between different factions in the 
union. The controversies became so numerous that at the 
conference in 191 1 between the manufacturers and the union 
the interpretation of the rule was brought up for settlement. 
The conclusion which was reached in conference was re- 
jected on reference by both the manufacturers and the 
union. The only provision which was accepted by both 
parties was that " whenever the necessity for a division of 
time arises, the factory committee and the management shall 
agree on a satisfactory division." 23 

In the iron and steel industries, the practice of working 
short time in periods of depression has become a generally 
accepted policy in many union and non-union mills. How- 
ever, the manufacturers have frequently used other means 
of curtailing production, such as running single instead of 
double turn, and of closing a certain number of their fur- 
naces. The Iron. Steel and Tin Workers' Union adopted 
in 1886 the following rule to cover such cases : " Should 
any department of a mill be stopped running single or double 
turn, through over-production, or other causes, the work 
shall be equally divided, except where a furnace is out for 
repairs.'' 24 The union has also provided that any mill, 
running double or triple turns during three or more months 
of the year, shall be considered a double turn mill, and in 
the event of such a mill going on single time, the work shall 

21 Proceedings. 1913, p. 216. 

22 Proceedings, 1912. p. 167. 

23 Proceedings. 1912. p. 97. 

24 Proceedings, 1886, p. 1851. 



DISTRIBUTION OF EMPLOYMENT II9 

be divided equally among the different crews. 25 For many- 
years, through the influence of the members who were hold- 
ing regular positions, this rule was not obeyed by many of 
the local lodges. There was also disagreement as to the 
proper method of dividing the work. Various plans were 
adopted. In some mills the men worked in rotation, while 
in others three and four shifts were worked. In the period 
of depression from 1893 t0 1896 tne mills worked short time, 
but did not employ the men laid off on account of the closing 
of certain furnaces. President Garland of the Amalga- 
mated Association advocated the adoption of a three-shift 
system and it appears that this plan was put into effect in 
many mills, for the president reported to the convention in 
1898 that seventy-five per cent of the members were then 
working under the three-shift system. 26 At the convention 
of 1900 several lodges asked for the privilege of working 
four shifts in order to help the great number of unemployed, 
but they were advised to divide the work in some other 
manner. 27 During 1901 many lodges reported that they had 
formed floating crews from those who had worked at 
furnaces which were then idle, and allowed them to work in 
rotation with the regular crews. 28 This method was sug- 
gested to the American Tinplate Company by President 
Garland when he went to New York in 1901 to plead the 
cause of the unemployed. 29 At present the manufacturers 
and the union have agreed that, in all cases, the work shall be 
distributed among all of the workmen, except those who 
have not been members of the union for thirty days. 

The general trade agreement between the Glass Bottle 
Blowers and the employers provides for the employment of 
idle men by changing the factory from a two to a three 
shift system in dull seasons. When this is not practicable, 
the shop committee and the manufacturer are to arrange 

25 Constitution, 1913, art. 17, sec. 6. 

26 Proceedings, 1898, p. 5418. 

27 Proceedings, 1000, p. 5839. 

28 Amalgamated Journal, February 14, 1901, p. 18. 

29 Ibid., p. 20. 



120 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

some other method for an equal division of employment 
among the workmen. 30 In consequence of the introduction 
of automatic machinery, the three-shift system has been 
widely established as the normal arrangement throughout 
the year. Where this is the case the distribution of work on 
account of seasonal variations must be accomplished in some 
other manner. Another rule agreed to by the manufacturers 
provided that when a majority of blowers in a factory agree 
to do so, the work may be divided among all. It appears, 
however, that this rule is enforced in only a small part of 
the factories. President Hayes in 1908 referred to several 
instances in which the local unions had asked for an equal 
distribution of employment and the employers had acceded 
to their request, but many of the local unions did not avail 
themselves of this opportunity. 31 At the convention in 191 4 
President Hayes urged the members to pay more attention 
to this provision, 32 but it appeared that some of the members 
were not in favor of dividing work because of its tendency 
to keep in the trade more men than necessary. 

As stated above, there are very few trades outside of the 
building trades, 33 in which short time is not worked in par- 
ticular cases. The practice (is foundi among the Stove 
Mounters, Paper Makers, Coopers, Leather Workers on 
Horse Goods, Metal Polishers, Lithographers, Boot and 
Shoe Workers, Photo-Engravers, Lace Operatives, Laundry 
Workers, in the stove branch of the Iron Molders, and to 
a less extent, among the Bakers, Bookbinders, Pattern 
Makers, Commercial Telegraphers, and the Street Railway 
Employees. 

The second method by which employment is distributed — 
the system of rotation — is less prevalent than the working 

30 Wage Scale and Working Rules, Glass Vial and Bottle List, for 
the Blast of 1913-1914, sec. 14, p. 76. 

31 Proceedings, 1908, p. 54. 

32 Proceedings, 1914, p. 109. 

33 An exception in the building trades appears to be the Granite 
Cutters. On several occasions some of the local unions have pro- 
vided for a temporary shortening of the working day from eight: to 
six hours, in order to provide work for the unemployed. For ex- 
ample, see Granite Cutters' Journal, April, 191 5, p. 4. . 



DISTRIBUTION OF EMPLOYMENT 121 

of short time. When the charges for lighting, heating, 
superintendence, etc., are fairly constant whether the em- 
ployer is working his full force or only a portion of it, it is 
obvious that it would be a considerable saving were he to 
operate his plant on part time with the full force, instead of 
operating full time with a portion of the force. On the 
other hand, when conditions in the industry are such that it 
is necessary to maintain an average daily output in the dull 
season, or when it is economical to keep a portion of the 
machinery in operation continuously, the method of rota- 
tion is more advantageous to the employer than the working 
of short time. 

These considerations are well illustrated in the case of 
the Brewery Workers. Here the manufacturers desire the 
uninterrupted operation of their breweries on account of con- 
ditions growing out of the methods of brewing and out of 
the regularity of sales of their product. For many years 
prior to the formation of a strong organization among the 
brewery workers, the employers generally met the slack 
season by a dismissal of a part of their working forces. In- 
asmuch as this frequently resulted in the laying off of one 
half of the force, the organized workers demanded a more 
equitable distribution of employment during the winter 
months. By 1901 the demands of the union had resulted 
in the incorporation in the majority of agreements with the 
employers of a rule requiring an equal distribution of work 
among the entire working force in the slack season. The 
secretary reported to the convention in 1901 that "almost 
every contract now contains a clause providing that during 
the slack times in winter, comrades shall be laid off alter- 
nately for a week at a time. 34 Employers of large brew- 
eries have only occasionally objected to this method of meet- 
ing seasonal fluctuations, but in small breweries the union 
has always had to struggle for the acceptance of the rule. 
There are usually only a few thoroughly competent brewers 
in a small brewery, and their work is divided in such a man- 

34 Proceedings, 1901, p. 49. 



122 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ner that when some of them are laid off the efficiency of 
the working force is greatly impaired. To meet this condi- 
tion, the union has conceded that short time may be worked 
in those breweries where rotation is impracticable. Even 
where the system of rotation is practised, the union has in- 
sisted on a reduction in working hours from nine during 
the busy season to eight in the winter, and has prohibited 
the working of any overtime when the men are working 
short time or in rotation. 

The adoption of these methods of meeting seasonal fluc- 
tuations in the brewery industry is due to the constant 
struggle of the union. As the general secretary has said, 
"the master brewers have worked tooth and nail to eradi- 
cate the lay-off clauses in the agreements." 35 Recently the 
members of the union in Washington, D. C, and Wilming- 
ton, Delaware, have been locked out because of their in- 
sistence upon an equal distribution of employment. In 
Washington the employers wished to discharge a certain 
percentage of the workmen and to divide the employment 
among the remaining working force ; but the union refused 
to accede to anything except a division of the work among 
the original working forces. 36 Secretary Proebstle of the 
Brewery Workers says that the union attaches the same im- 
portance to the question of distribution of employment as it 
does to wages and hours, for without the maintenance of 
this policy, the workmen would be unable to provide proper 
living conditions. 37 

The Amalgamated Glass Workers' Union compels its sub- 
ordinate local unions to insert in their agreements with the 
employers a clause providing for an equal distribution of 
work in the slack season. 38 This generally takes the form 
of rotation, although in several cases, as for example, in 
the 1914 agreement with the employers of Cincinnati, Ohio, 

35 Reports of the General Secretary-Treasurer in the Proceedings, 
1003, P- 157. 

36 For a complete description of the lockout, see Brauerei-Arbeiter 
Zeitung, April, 1915. 

37 Interview, August, 191 5. 

38 Constitution, 1913, sec. 151. 



DISTRIBUTION OF EMPLOYMENT 123 

it is provided that " in dull times the working hours shall be 
reduced so as to give each member employed an equal 
amount of working time." 39 Several of the unions char- 
tered by the American Federation of Labor, such as the 
Crown Cork and Seal Operatives, and the Watch Case 
Engravers, provide for rotation in the dull seasons, and, as 
has been pointed out above, the Ladies' Garment Workers, 
the Iron, Steel and Tin Workers, the Glass Bottle Blowers, 
and the Flint Glass Workers combine the method of rota- 
tion and the method of short-time. 

The third method by which distribution of employment 
is accomplished — short time to meet a slight fluctuation, but 
dismissal of workmen to meet a longer fluctuation — is very 
common. It is obvious that this method will be preferred 
in those trades in which it is particularly desirable to retain 
the most valuable workmen. In the mechanical depart- 
ments of the railroads and, in fact, in the majority of shops 
where members of the Boilermakers, Machinists, Iron 
Moiders, Blacksmiths/Metal Polishers, Sheet Metal Work- 
ers, and Pattern Makers are employed, this method is in 
general practice. A typical agreement is that between the 
Rock Island Federated Trades and the Chicago, Rock Is- 
land and Pacific Railway, as follows : " When reducing ex- 
penses, the full force of men will be retained, and reduction 
made in hours until the number of hours shall have reached 
forty per week ; but any further reduction will be made by 
laying off men, seniority and ability to govern. " 40 Occa- 
sionally the reverse of this method is employed; that is, a 
slight fluctuation is met by a dismissal of workmen, while 
any further fluctuation is provided for by the working of 
short time. This is less likely to meet the approval of the 
workmen, but is more advantageous to the employers in that 
they are enabled to dismiss the less efficient at the first 
opportunity. 

The " five-day " rule of some of the local unions of the 

39 Agreement between the Cincinnati, Ohio, local union of the 
Amalgamated Glass Workers and the employers, 1914, art. 6, sec. 1. 

40 Boilermakers' Journal, February, 1912, p. 107. 



124 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

Typographical Union is an interesting example of this 
method. This rule has grown out of the " six-day-law " 
which was discussed in a previous chapter. Its operation 
is limited to seasonal fluctuations and periods of general 
industrial depression. Under the rule, those who are regu- 
larly employed are obliged to give to the unemployed the 
opportunity to work one day each week, the regular force 
being limited to five days employment. The employers have 
strenuously objected to this rule and a number of local 
unions that have adopted it in periods of unemployment 
have been forced to abandon it, either because the unem- 
ployed were attracted from other cities, or because of the 
employers' objections. 41 When on December 2.J, 1914, the 
180 printers employed in the three newspaper plants of New 
Orleans were locked out, one of the important contentions 
was that the local union had passed a rule compelling its 
members to share all work beyond forty hours per w T eek 
with the unemployed. 42 The employers declared that the 
local union had abrogated the contract existing between the 
employers and the union " by passing and arbitrarily putting 
into effect a five-day law in our several offices/' thus " dis- 
turbing the working conditions therein at an increase of 
expense to the publishers and a decrease of the efficiency of 
their respective composing rooms." 43 The five-day rule is 
found to a limited extent in some other unions, as for in- 
stance, in many local unions of the Bakers during the dull 
seasons. 

Despite the wide prevalence of systems of distribution, 
the commonest means of reducing the production of the 
working force is to discharge part of the force. This 
method not only exists among the unskilled and the unor- 
ganized, but in well-organized and skilled trades. It is the 
almost universal custom among the thousands of workmen 
in the building trades and is accepted by many of the strong- 
est unions. Such strong unions as the Printers and the 

41 Barnett, The Printers, p. 225. 

42 Typographical Journal, March, 1915, p. 344. 

43 Ibid., February, 1915, p. 174. 



DISTRIBUTION OF EMPLOYMENT 1 25 

Railroad Brotherhoods in their agreements with employers 
concede to the latter the absolute right to discharge as many 
as they please in the dull seasons, merely asking that the 
seniority rights of the workmen be respected. Thus, the 
majority of the members of the American unions, it may be 
safely said, are not affected by rules which provide for a 
distribution of employment. 

In view of the widely varying practices of the unions, it 
is pertinent to inquire what are the differences among the 
trades and industries which lead to these differences in 
trade-union policy. Broadly speaking these trade charac- 
teristics are as follows : 

( 1 ) The greater differences in efficiency among workmen 
in one trade than in another. 

(2) The greater value, other than general efficiency, of 
certain workmen to a particular employer. 

(3) The greater expense and difficulty incurred in re- 
cruiting the working force in the busy seasons. 

(4) Differences in the factors affecting overhead charges. 

1. The first set of factors is, without doubt, the dominat- 
ing influence in the greater number of cases. The capacity 
of workmen varies considerably in some trades. The ex- 
tent of this difference depends chiefly upon the character of 
the trade, it being greater in those cases where the skill of 
the workman is the controlling factor in production. Inas- 
much as the members of unions are employed at standard 
rates, and as this minimum has generally become the maxi- 
mum, the employer is usually paying different wage rates 
per unit of efficiency to his various workmen. Therefore, 
when an employer is forced to curtail production, it is more 
economical for him to dismiss those workmen who are less 
competent than to retain the entire force either on short- 
time or in rotation. The differentiation in favor of the 
more competent is, of course, greater in those trades where 
time-wages are paid. It is therefore to be expected that 
the dismissal of workmen in the slack seasons will be found 
more frequently where time-wages are paid, and that short- 



126 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

time and rotation will be more common in industries where 
piece- wages are paid. Of the twelve unions whose mem- 
bers work short-time in periods of seasonal and cyclical 
fluctuations, ten are in trades paying piece-wages ; and one 
of the two unions whose members work in rotation in the 
dull seasons is a trade with piece-wages. 

A union whose experience illustrates the difficulty of forc- 
ing the working of short-time where time-wages are paid 
and the comparative ease of enforcing it among piece-work- 
ers, is the Ladies' Garment Workers of New York. The 
protocol of 191 1 provided for an equal distribution of work 
among the entire working force, but the union soon found 
that, although the manufacturers retained all the piece 
workers in dull seasons, many of the employees who were 
paid time-wages were being discharged. The employers 
were reluctant to keep all of the time-workers since many 
of them were not worth the standard rate of pay in the dull 
season. The Cloth Hat and Cap Workers' Union has simi- 
larly been unable to enforce in shops paying time-wages its 
rule requiring an equal distribution of employment while 
those shops where piece- wages are paid have not objected 
to the rule. 44 The secretary of the Lithographers, also, 
states that the only reason that the Lithographers have been 
unsuccessful in their attempts to secure an equal distribu- 
tion of employment in the slack seasons is that they are paid 
time-wages. 45 

It is not to be inferred, however, that all piece-working 
trades can enforce distribution of employment. For here, 
too, the inferiority of some workers to others may play a 
prominent part. It is said that the daily product of glass 
blowers varies as much as fifty per cent between one work- 
man and another, and as the costs for heating a tank of 
glass and other incidental expenses are the same for the 
man who blows five gross of bottles as for the man who 
blows ten, it is obvious that the employer would prefer to 
reduce his working force instead of working short-time. 

44 Interview, August, 1915. 

45 Interview with Secretary O'Connor, August, 1915. 



DISTRIBUTION OF EMPLOYMENT 127 

2. In many skilled trades the class of work varies con- 
siderably from one shop to another and an employee of one 
concern may be obliged to familiarize himself with the con- 
ditions peculiar to that establishment. These peculiarities 
may relate to the machinery, the process, the materials or 
even the patrons of the company. Through a knowledge 
of these conditions many workmen are an indispensable part 
of the concern. In such cases the employer will be more 
likely to use the method of short-time or of rotation rather 
than to dismiss a part of the working force, because when 
the full force is again required he may not be able to secure 
the services of the dismissed men. 

3. In trades where an employer can reasonably expect 
to recruit his working force with but little difficulty or ex- 
pense, there is less incentive for him to work short-time in 
the dull seasons. This is the case generally with employers 
of unskilled and semi-skilled workmen. So far as skilled 
workers are concerned much depends upon the size of the 
industrial community and the normal reserve of labor. 
When there is more than one establishment in a community, 
there is a greater probability that workmen can be obtained 
when they are needed. When a workman is dismissed from 
the only establishment in his community at which he can 
secure employment, he will generally move to a community 
where his chances for employment are greater. The pri- 
mary reason for short-time employment among the coal and 
ore miners, textile, and lumber workers, is that the employ- 
ers are forced to give to each workman some employment to 
induce him to remain in the community, in order that his 
services may be available in the busy season. In the large 
industrial centers employers are not generally forced to 
adopt this policy, because the normal reserve of labor is 
sufficient to furnish the number of workmen which will be 
required when he increases his working force. 

4. In some industries there are important expenses which 
are constant, regardless of the number of workmen em- 
ployed. Thus, charges for light, heat, power, superintend- 



128 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ence, and subsidiary labor may involve such an expense 
that it will be more economical for the manufacturer to em- 
ploy the entire force on short time, as for example, every 
other week, than to work full time, dismissing the less effi- 
cient workmen. In other industries this expense may be so 
small as to have no influence upon the method to be used. 

Throughout this chapter the attempt has been made to 
show the position of the unions in the demand for an equal 
distribution of employment in the dull seasons. Naturally 
stress has been laid on the objections of the employers, but 
in the unions themselves there are certain influential ele- 
ments which have steadily opposed a more equitable dis- 
tribution of employment. 

In the greater number of local unions there are certain 
members comprising the more efficient workmen, who 
dominate the business transacted by the union. Whenever 
the seasonal fluctuation is of such intensity as to cause the 
dismissal of some of these "regulars," the local union is 
insistent upon an equal division of employment. But when 
the fluctuation results merely in the discharge of a few 
men who are " floaters " or young members, the action of 
the local union is likely to be different. In these cases the 
regulars strenuously object to a division of employment and 
frequently refuse to abide by the rules of the national union 
upon the subject. The Flint Glass Workers at their con- 
vention in 1902, in the hope of discouraging such violations 
of the rule of equal division, directed one of the local unions 
to pay two weeks wages to a member whom they had not 
allowed to share in the division of work. 46 Such practices 
still exist, however, for the president in 191 5 said: "Our 
attention has been called to the fact that in certain localities, 
the members of the cutting department attempt to evade 
the equal division of time rule by catering to the foreman 
of the shops and receiving favorite treatment from the 
managers. Conduct of this kind is absolutely wrong, and 

46 Proceedings, 1902, p. 381. 



DISTRIBUTION OF EMPLOYMENT 1 29 

displays a weakness in trade union principles." 47 The mem- 
bers of the Typographical Union voted in 1908 to continue 
the enforcement of the priority rules, which are a great 
hindrance to the equal distribution of employment, espe- 
cially among the substitutes. 48 

The Railroad Brotherhoods, Boilermakers, Iron Mold- 
ers, Machinists, and other unions still retain in their agree- 
ments provision for the seniority rights of members in dull 
periods. And even where equal division is the rule, it is 
extremely difficult of enforcement on account of the hos- 
tility of the more efficient workmen. An official of the 
Brewery Workers says : " This new mode of laying ofr has 
caused much dissatisfaction, which certainly is not in accord 
with the socialistic principles which our organization pre- 
tends to advocate, and should not reveal itself so openly." 49 

Despite these influences within the unions, however, the 
agitation for an equal distribution of employment in the dull 
seasons is gaining great strength. Responsibility for intro- 
ducing and promoting distribution must in great measure be 
placed on the unions. In only one of the fourteen indus- 
tries represented by unions whose members work on short- 
time and in rotation during dull seasons, is it likely that 
these methods of meeting the contraction of demand would 
have been instituted and maintained without the influence 
of the unions. Conclusive evidence of this is found in the 
fact that the majority of non-union establishments in these 
thirteen trades dismiss a part of their working forces in the 
slack seasons instead of working on short-time or in ro- 
tation. 

47 Circular of the Flint Glass Workers' Union, Number 13, Feb- 
ruary 20, 1915, p. 1. 

48 Typographical Journal, vol. 32, p. 645. 

49 Proceedings, 1903, p. 199. 



CHAPTER VI 
Unemployment Insurance 

The development of beneficiary features in American 
trade unions has been far slower than in the European trade 
unions. Of the in national unions affiliated with the 
American Federation of Labor in 1916 only 69 were re- 
ported as paying benefits of any kind, and of these 35 had 
established only one form of benefit. Only 9 unions re- 
ported that they had expended anything for the support of 
their unemployed. The expenditures for beneficiary fea- 
tures of these 69 unions were $3,545,823 for the year 1916, 
and of this sum only $120,770 or about three per cent was 
for the relief of the unemployed. 1 

In 1908, 669 of the 1058 trade unions in Great Britain 
paid some form of unemployment benefit. The total ex- 
penditures in 1908 in England for this benefit alone was 
$6,289,565 or $2.75 per capita. This comparison shows 
the relatively small importance which American trade 
unions attach to organized out-of-work relief. In the 100 
principal trade unions of England, which represent about 
60 per cent of the total membership, the total amount of 
unemployment benefits paid during the three years 1908- 
1910 was $13,250,000, which was 31 per cent of all expen- 
ditures. 2 

There are only three American national unions which at 
this time, 1916, are paying out-of-work benefits — the Cigar 
Makers, the Deutsch-Amerikanischen Typographia, and the 
Diamond Workers. 3 

1 Report of Secretary, in Proceedings of the Thirty-sixth Annual 
Convention of the American Federation of Labor, 1916, p. 31. 

2 The 17th Report on Trade Unions of Great Britain. Report on 
Trade Unions in 1908-1910, pp. iii, xxi, xxxiii. 

3 Both the Coal Hoisting Engineers, which disbanded in 1904, and 
the Jewelry Workers, which disbanded in 1912, paid out-of-work 

130 



UNEMPLOYMENT INSURANCE I3I 

For many years prior to the adoption of this form of 
benefit by the Cigar Makers, several of the local unions of 
cigar makers had formed systems of their own. As early 
as 1875 the New York branch provided that members who 
had been unemployed for two weeks were entitled to receive 
benefits for a term of three weeks. 4 At the convention in 
1876 Mr. Samuel Gompers, then secretary of the New York 
City local union, proposed a national out-of-work benefit 
modeled upon the New York system, but the proposed 
benefit received scant attention. 5 During the following 
years several other local unions adopted the New York plan 
and the movement for a national out-of-work benefit found 
many adherents. 6 President Hurst recommended to several 
conventions that the local unions be allowed to vote upon the 
question but the opponents of the plan declared that the 
higher dues necessitated by the proposed benefit would force 
many members from the union, and defeated the measure. 7 
President Strasser and other officials argued in favor of an 
out-of-work benefit at every convention, but it was not until 
the eighteenth convention, held in September, 1889, that 
the benefit system as framed by Mr. Gompers was adopted. 8 

The system which went into effect in January, 1890, pro- 
vided that unemployed members who had paid dues for one 
year were entitled to $3.00 per week and 50 cents for each 
additional day, the benefit beginning with the second week 
of unemployment. After receiving benefits for six consecu- 
tive weeks the member was not entitled to any benefit for 
seven weeks thereafter, and the maximum amount to be 
received in one year was $72.00. No benefit was to be 
paid from December 16 to January 15 and from July 1 to 
July 15, as manufacturers generally closed their shops dur- 

benefits. The British trade unions which have members in the 
United States — the Amalgamated Carpenters and the Amalgamated 
Engineers — provide for unemployment insurance. 

4 Cigar Makers' Journal, February, 1889, p. 8. 

5 Ibid., September, 1876, p. 1. 

6 Ibid., April, 1877, p. 1. 

7 Ibid., April, 1879, p. 4. 

8 Proceedings of the Eighteenth Convention, 1889. p. 18. 



132 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

ing these periods. If a member was thrown out of employ- 
ment on account of intoxication, disorderly conduct, or bad 
workmanship he was not entitled to any benefit for eight 
weeks, but inability to hold a job did not deprive a member 
of his benefit. Those receiving benefits were required to 
report daily at the secretary's office and sign their names in 
a book provided for that purpose. Members were not en- 
titled to the benefit if they refused to work in a shop where 
work was offered, or neglected to apply for employment in 
a shop if directed to do so by an officer of the local union. 

The system was successful from the beginning, although 
many attempts were made to break down the safeguards 
established for its proper management. At the convention 
in 1891 it was provided that a member must procure from 
the collector of the shop in which he was last employed a 
certificate stating the cause of his discharge, and that if any 
member failed to register for three successive days the 
benefit of previous registration was forfeited, if such regis- 
tration was for less than one weekj^j On account of the great 
increase of out-of-work benefits paid in 1894, 1895, an ^ 
1896, the convention in the latter year voted to reduce the 
expenditures for this benefit. This was done by restricting 
the benefit to cigar makers of two years' membership, by 
reducing the maximum amount to be drawn in one year 
from $72.00 to $54.00, and by extending the periods during 
which the benefit was not to be paid. 10 The system has re- 
mained unchanged since the convention of 1896. 

During the first year of its operation $22,760 was paid to 
2286 members, or less than 10 per cent of the membership. 
The per capita cost for the first year was 92 cents, Sy cents 
for the second year, and 65 cents for the third year. Dur- 
ing the depression of 1893-1896 the cost increased greatly, 
there being expended in 1896 $175,767 or $6.43 per capita. 
Since then the cost has gradually diminished, and except for 
the years 1908, 1909, 1912, and 1914, has never exceeded 

9 Proceedings of the Nineteenth Convention, 1891, p. 23. 

10 Proceedings of the Twenty-first Convention, 1896, p. 31. 



UNEMPLOYMENT INSURANCE 133 

$1.00 per capita. The system had been in operation twenty- 
five years on January i, 191 5, and had cost the union $1,- 
486,732, or an average annual per capita cost of about $1.90, 

The Deutsch-Amerikanischen Typographia established its 
out-of-work benefit in 1884, eleven years after the national 
union was founded. As was the case with the Cigar 
Makers, the system was modeled after a benefit in opera- 
tion in one of the local unions. The only changes which 
have been made in the original plan have had to do with the 
amount of the weekly benefit. At the outset the benefit was 
fixed at $5.00 per week, but as it was found that the assess- 
ments more than paid for the system, it was increased in 
1888 to $6.00 per week. However, in 1894 the weekly 
benefit was reduced to the original amount on account of 
increased payments due to the general business depression 
and to the introduction of the linotype. In 1908, owing to 
the prosperous financial condition of the union, it was again 
raised to $6.00 per week where it has since remained. 

The operation of the system at present is in many respects 
similar to that of the Cigar Makers. Unemployed members 
who have been in good standing for two years are entitled 
to $6.00 per week, beginning with the fourth week of un- 
employment. After having received benefits for four weeks, 
a period of three weeks must intervene before the member 
is again entitled to the benefit, and the amount received 
during the fiscal year cannot exceed $96.00 Members who 
are unemployed through their own fault are not entitled to 
the benefit until they have been on the unemployed list for 
seven weeks, but if the situation has been voluntarily given 
up, the member is allowed to draw the benefit after a period 
of four weeks. The secretaries of the local unions specify 
certain hours of the day during which the unemployed must 
register at the union offices. Should the member receive 
employment for one day while on the unemployed list, $1 is 
deducted from his weekly benefit, but four days' employment 
in one week debars him from any benefit for that week. 
Members who refuse to accept a situation are not allowed to 



134 



UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



register for a period of six weeks, while refusal to work as 
a substitute debars from the benefit for two weeks. In- 
ability to hold a position debars a member from any benefit, 
and only through the action of the local union can he be 
given any financial assistance. 

The cost of the out-of-work benefit in the Cigar Makers' 
Union and in the Typographia is shown in the following 
table : 

Cost of Maintaining the Out-of-Work Benefit 





Typograph 


ia 


Cigar Makers 


Year 


Total Cost 


Per Capita 
Cost 


Total Cost 


Per Capita 
Cost 


I88 5 


$ I,Il8.90 


$ 2.00 






1886 


1,453.08 


1-52 






1887 


1,240.10 


I 15 






1888 


1,315.13 


1. 16 






1889 


6,281.50 


5-55 






189O 


4,315-00 


347 


$ 22,760.50 


$ .92 


189I 


6,067.00 


4.58 


21,223.50 


•87 


1892 


9,359-50 


6.77 


17,460.75 


.65 


1893 


7,835.00 


5-67 


89,402.75 


3-34 


1894 


17,262.50 


14-33 


I74,5I7.25 


6.27 


1895 


9,464.20 


8.66 


166,377.25 


5-99 


1896 


7,812.00 


7.00 


175,767.25 


6.43 


I897 


8,485.00 


7.83 


117,471.40 


4.46 


I898 


8,603.00 


7.82 


70,19770 


2.65 


1899 


11,135.00 


10.39 


38,037.00 


131 


1900 


8,703.00 


8.33 


23,897.00 


.70 


1901 


6,716.00 


6.56 


27,083.76 


•79 


I902 


7,839.00 


7.86 


2I,07I.OO 


.56 


1903 


4,846.00 


4.86 


15,558.00 


•39 


I904 


5,785.00 


5.82 


29,872.50 


•72 


I905 


5,105.00 


5.23 


35,168.50 


.87 


1906 


5,086.00 


5.22 


23,911.00 


.61 


I907 


3,802.00 


3.84 


I9,497.50 


•47 


I908 


6,585.00 


6.78 


101,483.50 


2.51 


I909 


6,350.00 


6.69 


76,107.25 


1.71 


I9IO 


4,OII.OO 


4-34 


39,917.00 


•9i 


I9II 


3,40I.OO 


3.70 


36,942.50 


.88 


1912 


3,670.00 


4-13 


42,911.05 


1.06 


1913 


3,248.00 


3-64 


31,898.71 


•79 


1914 


3,188.00 


3-59 


68,198.00 


1.70 


Total 


$180,081,91 




$1,486,732.62 




Average .... 


6,002.73 


5.6i 


59,469.30 


1.90 



UNEMPLOYMENT INSURANCE 1 35 

Some comparison can be made of the cost of the out-of- 
work benefit in the two unions. During the twenty years 
existence of the Cigar Makers' system the average annual 
per capita cost has been $1.90, while the average annual per 
capita cost of the German Printers has been $5.61. But 
this great difference has not been due chiefly to a greater 
amount of unemployment, although the printers are more 
subject to unemployment than the cigar makers. The 
weekly benefit of the Cigar Makers is only one-half of that 
of the Typographia, while the maximum yearly benefit is 
only about sixty per cent as great. 

During the past few years there appears to have been a 
tendency towards decreased per capita costs in both unions. 
This is partly due in the case of the Cigar Makers to a more 
stringent administration of the system, while in the Typo- 
graphia it is the result of the introduction of the old age 
pension in July, 1908. Secretary Miller of the Typographia 
says that the majority of the members receiving the benefit 
for the unemployed are the older men who are unable to 
operate typesetting machines, and that before the introduc- 
tion of the old age pension these members drew the maxi- 
mum out-of-work benefit each year. 11 

As the periods in which the two unions have paid unem- 
ployment benefits are about the same, it is not surprising 
that there is a striking correspondence between the fluctua- 
tions in their per capita costs. Both fall and rise together 
throughout the twenty-five years. From 1892 to 1894 the 
Cigar Makers' per capita cost rose from 65 cents to §6.2J 
and the Typographia's from $6.77 to $14.33, while from 
1899 to 1907 the cost of the Cigar Makers decreased gradu- 
ally from $1.31 to 47 cents and that of the Typographia from 
$10.39 to $3-84. Both rose during the panic of 1907-1908 
and have since decreased gradually. 

The Diamond Workers' Union, organized in 1902, estab- 
lished an out-of-work benefit in 1912. The system went 
into effect on August 1, 191 2. It provided that the out- 

11 In letter to the writer, October 19, 1915. 



I36 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

of-work fund should be maintained by assessments of ten 
cents per week upon all employed members. Those mem- 
bers who had been employed for thirteen full weeks during 
the first half-year of their membership and who had been 
unemployed for six consecutive weeks were entitled to 
benefits. The unemployed were to receive a benefit of $6.00 
per week and $1.00 for each additional day of idleness, but 
could not draw benefits for more than thirteen weeks, or 
seventy-eight working days, during the fiscal year. Mem- 
bers drawing benefits who found employment for four con- 
secutive weeks or more were net entitled to an additional 
benefit until they had been idle for six additional consecu- 
tive weeks, while those who had been drawing the benefit 
and received work for less than four weeks were not to 
receive the benefit until they had been idle for as many days 
as they had been employed. Members who had resigned 
from their employment without reasons satisfactory to the 
executive board or who had courted their discharge were 
excluded from the benefit, and those who refused to accept 
employment when offered forfeited all rights to the benefit 
during the fiscal year. Those receiving the benefit were 
compelled to report at the headquarters of the union every 
Tuesday and Friday between the hours of 10 and 12 A.M. 12 
Several important changes in the system have been made 
since its establishment. In July, 191 3, the weekly benefit 
was increased from $6.00 to $7.50, and members became 
entitled to the benefit after they had been unemployed for 
four weeks instead of six weeks. 13 At first it was thought 
that with an initial donation of $600.00 to the fund from the 
general funds of the union the assessment of ten cents per 
week would be sufficient to defray the expenses of the 
benefit system. It appears that in normal times the income 
from this source was sufficient to cover the expenses, but 
during the depression of 1914-1915 the expenditures for the 

12 Circular of the Diamond Workers Protective Union of Amer- 
ica (New York, n. d.). 

13 Letter to the writer from President Andries Meyer, March 7, 
1916. 



UNEMPLOYMENT INSURANCE 1 37 

benefit were so large that it was necessary to transfer large 
sums from the general fund of the union to the out-of-work 
fund. Thus, from January i, 1914, to March 31, 1915, 
$22,600 was drawn from the general fund for the use of the 
out-of-work benefit. 14 In 1916 the employed members were 
assessed $1.00 per week besides the regular dues in order 
to provide new resources for the out-of-work fund. 15 

The following table shows the amounts paid since Oc- 
tober 1, 1912: 

Out-of-Work Benefits Paid by the Diamond Workers' Pro- 
tective Union 

Quarter Ending Amount 

December 31, 1912 $ 435-00 

March 31, 1913 78.00 

June 30, 1913 36.00 

September 30, 1913 181,25 

December 31, 1913 567.50 

March 31, 1914 . 3,041.25 

June 30, 1914 4,863.75 

September 30, 1914 7,163.75 

December 31, 1914 7,213.75 

March 31, 1915 , 2,622.50 

June 30, 1915 96.25 

September 30, 1915 670.00 

December 31, 1915 258.70 

Total cost $27,227.70 

Average per capita $ 86.43 

Although but three national unions have established out- 
of-work benefits, a great many, at one time or another, have 
made special provision for the unemployed by donating 
money for this purpose from the general funds of the union. 
These emergency benefits have usually been put into opera- 
tion during periods of general business depression. 

The following table shows the total annual amounts in- 
cluding regular benefits and special appropriations, which 
have been appropriated for the relief of the unemployed by 
the unions reporting to the American Federation of Labor. 

14 Quarterly Financial Statements, Jan. 1, to Mar. 31, 1914; Jan. 1 
to Mar. 31, 1915. 

15 Letter to the writer from President Andries Meyer, March 7, 
1916. 



I38 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



Unemployment Benefits Paid by Unions Reporting to the 
American Federation of Labor, 1903-1916 



Year 


Amount 


Year 


Amount 


1903 
I904 

1905 
I906 
1907 
I908 


$ 79,538.37 
78,073.25 
85,050.72 
79,582.70 
46,481.79 
205,254.31 

484,028.49 

197,808.00 


I9II 
1912 

1913 
1914 

1915 
I916 


$218,742.71 

215,398.60 

69,44570 

99,024.88 

256,002.29 

120,770.60 


I909 


Total 


$2,235,202.41 


1910 


Average 


$159,657.32 



Typical examples of emergency funds for the unem- 
ployed are those of the Flint Glass Workers and the Glass 
Bottle Blowers. The general business depression of 1907 
closed many factories in which members of the Flint Glass 
Workers were employed and the national union was be- 
sieged with appeals from the unemployed who numbered 
over thirty per cent of the membership. A relief fund was 
established and about $5,000 was donated monthly to the 
unemployed until business conditions improved. 16 

During the same depression the Glass Bottle Blowers were 
confronted with a situation not unlike that of the Flint Glass 
Workers. The general office received so many applications 
for help that the executive board, on January 7, 1909, de- 
cided to establish a fund for the relief of the unemployed 
by increasing the assessment upon the earnings of those em- 
ployed. Within a few weeks after its establishment 3200 
of the 8200 members were receiving relief. The unemployed 
married members were given $7.00 per week and the unem- 
ployed single members, $5.00 per week for an indefinite 
period. During the period in which relief was granted there 
was expended $26o,502.75. 17 During the depression of 
1914-1915 the national union loaned money to the local 
unions to relieve the unemployed. In 1914 the sum of $9,- 
890.13 was expended, 18 while in 191 5 the expenditure 

1G Proceedings, 1908, p. 91 et seq. 

17 Proceedings, 1910, pp. 50, 70. 

18 Proceedings of American Federation of Labor, 1914, p. 29. 



UNEMPLOYMENT INSURANCE I39 

amounted to $55,ooo. 19 Although this money was to be 
repaid, it is said that there is very little likelihood that this 
will be done. 

Although the out-of-work benefit has been utilized so 
little by the American trade unions, there is scarcely a union 
in which there has not been a more or less continuous agita- 
tion for its adoption. These campaigns have been waged 
not only in the unions which were in existence when the 
Cigar Makers and the Typographia adopted the benefit, but 
also in unions founded within the last fifteen years. The 
agitation has been greatest during periods of general busi- 
ness depression, but it goes on even in the most prosperous 
years. 

The Brotherhood of Carpenters and Joiners affords an 
illustration of this continuous agitation. P. J. McGuire, 
the founder of the union, advocated the establishment of 
an unemployed benefit. In the conventions of 1894 and 1896 
he expounded its advantages and recommended its adoption, 
but each time the proposed benefit was defeated. 20 Presi- 
dent Lloyd at the New York convention of 1898 urged the 
delegates to establish a benefit for the unemployed, and 
this time the question was submitted to a referendum vote 
but was defeated. 21 During the panic of 1908 Secretary 
Duffy reported to the convention that he heartily favored 
some plan whereby the union might be able to give aid to 
the unemployed. 22 At almost every convention since, the 
question has been debated and in many of the issues of 
The Carpenter there are letters from members urging the 
union to adopt some form of unemployment insurance. 

The Typographical Union, which has an extensive benefit 
system, has frequently considered the advisability of estab- 
lishing an out-of-work benefit. Its officers, like those of 
the Carpenters, have been the most aggressive exponents of 
the advantages to be derived from such action. President 

19 Proceedings of American Federation of Labor, 1915, p. 30. 

20 The Carpenter, January, 1908, p. 10. 

21 Proceedings, 1898, p. 8. 

22 Proceedings, 1908, p. 5. 



140 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

Prescott at the convention of 1894 urged the members to 
adopt the out-of-work benefit instead of the sick benefit. 23 
During the period in which the linotype was displacing great 
numbers of printers the agitation for an out-of-work benefit 
became general throughout the union, but each time it was 
put to a vote of the membership it was defeated. As late 
as 1907 President Lynch said : " It has long been the belief 
of the president that the Typographical Union is great 
enough, experienced enough, and in the possession of the 
necessary machinery, to establish and successfully carry on 
an out-of-work benefit." 24 During the depression of 1914 
many letters were written to the Typographical Journal 
urging the adoption of this benefit, and the convention of 
19 1 5 provided for the appointment of a committee to inves- 
tigate the feasibility of establishing an out-of-work benefit 
for the International Union. 25 

When the Plumbers in 1899 decided to inaugurate a sys- 
tem of benefits, a campaign was made for the out-of-work 
benefit, but through the conservatism of its officers other 
benefits were chosen instead. In 1908 the executive board 
was authorized by the convention to ascertain the probable 
cost of the benefit, but the finances of the union were in 
such condition that the adoption of the benefit at that time 
would have been impossible. 26 In the Pattern Makers this 
benefit was considered at the organization of the union, and 
has since been discussed at nearly every convention. As 
several of its local unions already had unemployment bene- 
fits, the movement made considerable headway, but each 
time the question has been submitted to the members, it has 
failed of adoption. During the financial panic of 1896 and 
the years of depression following there was a strong move- 
ment in favor of the out-of-work benefit in the Iron, Steel 
and Tin Workers, Painters, Granite Cutters, Bakers, and 
Lithographers, but in recent years there appears to have 

23 Barnett, The Printers, p. 103. 

24 Ibid., p. 106. 

25 Proceedings, 1915, p. 65. 

26 Proceedings, 1908, p. 93. 



UNEMPLOYMENT INSURANCE I4I 

been no attempt in these unions to reopen the question. On 
the other hand, in the Brewery Workers, Metal Polishers, 
Photo-Engravers, Boot and Shoe Workers, and Potters, the 
out-of-work benefit has been the subject of consideration 
during the past few years, and at each succeeding conven- 
tion seems to gain additional support. 

The failure of the national unions to provide out-of-work 
benefits has led many local unions in various trades to estab- 
lish systems of their own. These exist in nearly all unions 
and some of them have been in existence for many years. 
Probably the oldest and most important are those found 
among the Printers. 

The Typographical Association of New York City, as 
early as, 183 1, provided that the sum of $3.00 per week 
should be paid to unemployed single members and $4.00 
per week to unemployed married members. This benefit 
was to be paid as long as the members were unemployed 
unless a member refused to accept a situation offered him 
or made no effort to procure employment. This system 
remained in operation for only a few years, but it was re- 
established later and was maintained throughout a business 
depression. 27 In September, 1893, the unemployed benefit 
was reestablished, but it was not until March, 1896, that a 
permanent system was founded. The money for this bene- 
fit was to be secured by an assessment of one per cent on 
the earnings of those employed. Unemployed members 
who had been in good standing for one year were entitled 
to a benefit of $4.00 per week for the first four weeks of 
unemployment, but not more than four weeks' benefit could 
be drawn in any six weeks nor more than $60.00 in any 
one year. 28 This system remained in operation until Au- 
gust, 1907, during which time the sum of $520,645 was ex- 
pended. The following table shows the annual total cost 
and the annual average per capita cost. 

27 George A. Stevens, " The History of Typographical Union 
Number Six " in Annual Report of the New York Bureau of Labor 
Statistics, 1911, part I, pp. 112 and 113. 

28 Ibid., pp. 478 and 479. 



142 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

Cost of Maintaining the Out-of-Work Benefit in the New 
York City Typographical Union 



Year 


Total Cost 


Per Capita 
Cost 


l 

Year Total Cost 

1 


Per Capita 
Cost 


1894 

1895 
1896 
1897 
1898 
I899 


$18,259.04 

17,779.05 
25,365.20 
30,211.70 
35,l69-24 
37,274-13 

40,323.65 
40,451.46 


$3-59 

3-8i 

5.38 
6.29 
6.9O 

6.88 
7-45 
7.36 


1902 $40,715.75 

1903 44,510.86 

1904 45,458.12 

1905 50,385.80 

1906 54,701.69 

1907 40,039.56 


$7.07 
714 
7.06 
740 

8.11 
5-95 


1900 


Total .... $520,645.25 




1901 


Average. . $37,188.90 


$6.45 



It will be noticed that the per capita cost shows no sudden 
changes in periods of depression or prosperity. With but 
few exceptions, the cost increased each year — from $3.59 in 
1894 to $8.11 in 1906. Inasmuch as the weekly benefit and 
the maximum amount which could be drawn in one year 
remained the same it is evident that the benefit, if continued, 
would have become a serious financial drain upon the union's 
resources. Since August, 1907, when the system was abol- 
ished, the unemployed who have been in need of assistance 
have been given benefits, ranging from $5.00 to $15.00 ac- 
cording to individual need, through a benefit board which 
investigates each case to prevent imposition. The money 
for this relief has been secured by a special assessment of 
one half of one per cent on the earnings of those employed. 
During the depression of 1914 this source of income was 
insufficient and an assessment of five per cent on all earn- 
ings of over $10.00 per week was made. 29 Several other 
local unions of the Printers, especially the Chicago union, 
have been paying out-of-work benefits for several years. 30 

Notwithstanding the fact that their national union pays 
unemployment benefits the three hundred German type- 
setters of the New York City local union have established 
an additional benefit. This is so arranged that after a 
member has received the national benefit for four weeks 

29 The Survey, February 20, 191 5, p. 550. 

30 Typographical Journal, January, 191 5, p. 42. 



UNEMPLOYMENT INSURANCE I43 

the local union provides a benefit for the succeeding weeks, 
during which the unemployed member receives no benefit 
from the national union. 31 

The Boot and Shoe Workers 32 and the Lithographers 33 
have constitutional provisions recommending that their 
local unions establish out-of-work benefit funds. In both 
unions several of the subordinate unions have acted upon 
the suggestion. The New York City branch of the Lithog- 
raphers, for instance, provides that members who have been 
unemployed for one week are entitled to a benefit of $3.00 
per week. The maximum amount that can be secured in 
one year is $60. To be entitled to the benefit, a member 
must secure from the delegate of the shop in which he was 
last employed a certificate stating the cause of his discharge 
or lay-off. If he is instructed by a local union officer to 
apply for a position and fails to do so, he is not entitled to 
any benefit. 34 

The Bakery and Confectionery Workers at its convention 
in 1904 recommended that "immediate steps be taken to 
create in every local union an out-of-work benefit." 35 In 
191 5 Secretary Iffiand stated that about thirty or forty local 
unions had inaugurated systems for the support of their 
unemployed. 36 In the Brewery Workers there are prob- 
ably not less than twenty local unions which pay out-of- 
work benefits, but as no report of these funds is made 
to the national union, detailed information cannot be secured 
concerning them. 37 The Newark, New Jersey, local union, 
with 370 members, reported to the convention of 1903 that 
it had expended $10,000 during the previous year for the 
support of its unemployed, 38 and the Chicago local union of 
650 members reported that in 1900 it had disbursed $3,652 

31 The Survey, February 20, 191 5, p. 549. 

32 Constitution, 1913, sec. 64. 

33 Constitution, 1913, art. 4, sec. 5. 

34 Constitution, 1905, art. 3, sees. 2, 3, 4 and 5. 

35 Bakers' Journal, October 21, 1905, p. 1. 

36 Interview, August, 1915. 

37 Interview with Secretary Proebstle, August, 1915. 

38 Proceedings, 1903, p. 193. 



144 



UNEMPLOYMENT AND AMERICAN TRADE UNIONS 



on account of its unemployment benefit. 39 The Cleveland 
branch provides that a member who has been out of employ- 
ment for four weeks is entitled to a benefit of $3.00 per 
week for ten weeks during a year, 40 and the New York 
City local union with 1200 members pays a benefit of $4.00 
per week for twelve weeks in each of two years, after which 
a member must pay dues for a full year before he will again 
be entitled to the benefit. 41 

Several of the larger local unions of the Pattern Makers 
have had out-of-work benefit systems in operation for the 
past ten years. The Boston association established its 
benefit in 1906. It was provided that a member who had 
been in good standing for at least six months should be 
entitled to a benefit of $7.00 per week, such benefit to begin 
after the first week of unemployment and to be limited to 
thirteen weeks in any one year. 42 During the period April, 
1913, to April, 1914, $4,280 was expended for this benefit. 43 
The New York City local union has paid the sum of $5.00 
per week as relief to its unemployed members for several 
years. During the year 1908 this benefit cost the union an 
average of $728 each week. 44 

Among the Photo-Engravers, the local unions in Phila- 
delphia, New York, Chicago, and several other cities have 
successful out-of-work funds. The New York local union 
pays to the unemployed a weekly benefit of $6.00 for an 
indefinite period. 45 

In the following unions there exist but one or two local- 
union permanent out-of-work benefits : Boilermakers, Black- 
smiths, Bookbinders, Cloth Hat and Cap Makers. Commer- 
cial Telegraphers, Glass Workers, Hotel and Restaurant 
Employees, Lace Operatives, Ladies' Garment Workers, 
Spinners, and Wood Carvers. In the building trades very 
few local unions maintain out-of-work funds. 

39 Proceedings, 1901, p. 92. 

40 Proceedings, 1901, p. 91. 

41 The Survey, February 20, 1915, p. 550. 

42 Pattern Makers' Journal, April, 1906, p. 13. 

43 Ibid., May, 1914, P- 20. 

44 Ibid., May, 1908, p. 3. 

45 The Survey, February 20, 191 5, p. 550. 



UNEMPLOYMENT INSURANCE I45 

An indirect form of unemployment benefit is the exemp- 
tion of those who are out of work from the payment of 
dues and assessments. This rule is found in the Black- 
smiths, Boilermakers, Brewery Workers, Cigar Makers, 
Diamond Workers, Glass Workers, Granite Cutters, Hat- 
ters, Iron Molders, Leather Workers on Horse Goods, 
Lithographers, Locomotive Firemen, Machinists, Metal Pol- 
ishers, United Mine Workers, Pattern Makers, Photo-En- 
gravers, Piano and Organ Workers, Pulp, Sulphite and 
Paper Mill Operatives, Stove Mounters, and Western Fed- 
eration of Miners. In other unions, such as the Flint Glass 
Workers and Printers, where the members are taxed in 
proportion to the amount of their wages, the unemployed 
are automatically freed from the payment of dues. 

The dues of those unions which have developed strong 
beneficiary systems have naturally increased with the intro- 
duction of each new benefit, and in some cases amount to 
five per cent of the members' wages. The unemployed 
member thus finds it difficult at times to remain in good 
standing. Moreover, in some cases those who have been 
in arrears for a certain number of weeks are excluded from 
union benefits. On account of these circumstances about 
twenty national unions exempt the unemployed from pay- 
ment of dues so that they can be retained as members and 
be entitled to the various benefits. 

The general character of these provisions is much the 
same. The Iron Molders exempt unemployed members 
from payment of dues for a period of not exceeding thir- 
teen weeks in any one year. Those who have paid dues for 
the preceding six months are entitled to this exemption. 46 
This rule was adopted in October, 1897, and to the first of 
January, 1915, the cost of the system was $3i6,i68. 47 

The United Mine Workers, on account of seasonal unem- 
ployment in the trade, exempt members from the payment 
of dues when unemployed. A member who has been idle 



46 Constitution, 1912, art. 18, sec. 1. 

47 Molders' Journal, February, 1915, p. 112. 
10 



I46 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

for one month is excused from payment of all dues until he 
again obtains employment. 48 The Granite Cutters provide 
that any member in good standing who is unemployed shall 
be exempted from one-half of the regular dues. 49 The 
Metal Polishers excuse members who are unemployed from 
the payment of dues for three months after four weeks of 
idleness. 50 

In view of the fact that the out-of-work benefit is one of 
the devices by which trade unions protect the standard rate 
and the working conditions by relieving members of the 
necessity of accepting less favorable terms aind conditions, 
it is difficult to understand why the out-of-work benefit is 
not more widely used. In the greater number of unions 
the officers are staunch advocates of the system, and there is 
no more ardent supporter of out-of-work benefits than 
President Gompers of the American Federation of Labor. 
At the New York convention of the American Federation 
of Labor in 1898, the delegates went on record as endorsing 
the payment of the benefit and urged all affiliated unions to 
establish such a system. 51 

Two reasons can be stated for the slight development of 
the out-of-work benefit in American trade unions ; first, the 
unwillingness of the average union member to acquiesce in 
the necessary increase of dues ; and second, the apparent 
inadequacy of the administrative agencies of the union to 
secure a just distribution of the benefit. 

The first of these hindrances to the establishment of the 
out-of-work benefit needs little comment. The average 
workingman joins a trade union chiefly from the desire to 
carry a union card and participate in the better conditions 
secured by the union. The matter of benefits, and espe- 
cially out-of-work benefits, is of secondary importance. 
He wants to be a member of the union, but he also wants 
the dues to be as small as possible. 



48 Constitution, 1914, art. 14, sec. 23. 

49 Constitution, 1912, sec. 134. 

50 Constitution, 1913, art. 17, sec. 3. 

51 Proceedings, 1899, p. 5677. 



UNEMPLOYMENT INSURANCE I47 

The second hindrance grows chiefly out of the personal 
acquaintance of the local union officials with the members. 
The experience of the Cigar Makers, and for that matter, 
the history of any trade union benefit, shows that there are 
always local union officials who pay benefits which should 
not have been paid. The disbursing agencies must be given 
considerable discretion in determining whether or not the 
applicants are entitled to the benefit. Further, the local 
officials seem unable to deal strictly with a member who 
abandons a job on plausible grounds. The experience of 
the New York local union of the Typographical Union with 
an out-of-work benefit may be cited. A member of that 
organization writes : " We found that a number of men 
each year drew the full amount that was permitted them 
under the laws regulating the fund, and that these men could 
best be described as ' panhandlers/ The abuses in our case 
eventually became so flagrant that the fund was abolished 
upon the report of an investigating committee to the effect 
that the majority of the beneficiaries of the fund belonged 
to this dissolute class." 52 The unions have specifically set 
forth in the rules on the subject the manner in which the 
benefit systems are to be administered and the various con- 
ditions under which the unemployed members shall become 
entitled to the benefit. The systems generally have been 
well planned but poorly administered. 

Since the establishment by Great Britain of a compre- 
hensive insurance plan some of the American trade union 
officials have inaugurated campaigns for the adoption of a 
similar scheme by this government. 53 Inasmuch as the con- 
census of opinion among recent writers on the subject is in 
favor of utilizing the trade union in a scheme of govern- 
ment insurance, 54 it is not surprising that American repre- 
ss A. J. Portenar, Problems of Organized Labor, p. 73. 

53 The text of the British Insurance Act is contained in Bulletin 
of the United States Bureau of Labor, No. 102. 

54 I. G. Gibbon, Unemployment Insurance, p. 251 ; Cyril Jackson, 
Unemployment and Trade Unions, p. 29; Henry R. Seager, " Outline 
of a Program of Social Legislation," in Proceedings of the first 
Annual Meeting of the American Association for Labor Legislation, 
1907, p. 87. 



I48 UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

sentatives of organized labor demand that the trade unions 
should be given the right to administer the benefit among 
their own members. 55 

We have seen that three national unions have established 
unemployment benefits, that a few more have provided 
emergency relief funds for those out of work, and that a 
small percentage of the local unions have regular benefits 
for the unemployed. Under such conditions one might ex- 
pect to find the average unemployed trade unionist in as 
bad a predicament as the unemployed non-unionist. But 
such is by no means the case. There is scarcely one Ameri- 
can local union which does not in some form or other 
contribute towards the support of its unemployed members 
when they are in need of assistance. A member out of 
work is rarely turned away from the union without receiv- 
ing some assistance. In some cases it may take the form of 
a loan of a few dollars, but his union will rarely allow him 
to suffer from want. The usual procedure is for a friend 
of the unemployed to announce at a meeting of the local 
union that a brother member is unemployed and in need of 
money to pay the rent and secure the necessities of life. 
With scarcely any further remarks, the union votes to do- 
nate a sum of money to the member. In other cases the 
local union sets aside a certain sum of money for the relief 
of the unemployed, and appoints a committee which has 
complete control over the granting of aid. 

Frequently the unions, in periods of general business de- 
pression, maintain relief agencies for their unemployed. In 
191 5 some two hundred Jewish trade unions of New York 
City opened headquarters on the lower East Side and gave 
out groceries to their unemployed members. 56 From January 
1 to May 1 of the same year, the bricklayers' local union 
of Toronto, Ontario, donated 372 baskets of groceries and 

55 G. W. Perkins, in American Labor Legislation Review, June, 
1913, p. 236; T. J. Dolan, in the Steam Shovel and Dredge Man, 
April, 1915, p. 380; Proceedings of the Massachusetts Federation of 
Labor, 191 5. 

56 The American Labor Legislation Review, November, 1915, 
p. 104. 



UNEMPLOYMENT INSURANCE 149 

many tons of coal to their unemployed members. 57 Of 
course, these relief agencies are marked with the stigma of 
charity and consequently only those who are in dire need 
apply to them. The system is far from ideal. The un- 
employed are assisted only when they are in great need, and 
those who have been fortunate and wise enough to save for 
the days of unemployment do not receive any aid from the 
system. But, as one trade-unionist said, "It is better than 
that provided for the non-unionist." 

The effectiveness of even so crude a system is shown by 
the fact that union members are rarely found among the 
applicants to organized charities. Those associated with 
charity organizations adequately appreciate the valuable 
social services performed by the trade unions. A writer on 
the subject says, "Charity workers testify to the fact that 
during business depressions when the unemployed must be 
cared for by the thousands, scarcely a single member of a 
trade union has applied for relief either to the cities or to 
philanthropic organizations." 58 The Secretary of the United 
Charities of St. Paul, Minnesota, stated that in 1914-1915 
" The trade unions with their benefit features have been the 
saving grace in the situation here." 59 In December, 191 3, 
the city of Seattle, Washington, provided special work for 
the unemployed, and of the 1300 men who applied for work 
only six were members of trade unions. 60 The chairman of 
the relief work in Chicago during the severe season of 1893- 
1894 reported that not a single member of a trade union in 
that city applied for aid either to the city or to the philan- 
thropic organizations. 61 

As further proof of this fact, the report of the Com- 
mission of Industrial Relations may be quoted: "It is 

57 The Bricklayer, Mason and Plasterer, May, 191 5. p. 104. 
58 Adna F. Weber, quoted in the Bricklayer and Mason, January, 
1902, p. 7. 

59 Quoted in the American Labor Legislation Review, November. 
1015, P. 589. 

60 Associated Press Dispatch. 

61 Bulletin of the United States Department of Labor, Number 22, 
May, 1899, p. 400. 



I5O UNEMPLOYMENT AND AMERICAN TRADE UNIONS 

significant that trade union members are practically never 
found among the applicants for charity during periods of 
unemployment. They may be unemployed, but they are 
in some way cared for, either by having work found for 
them, or by systematic or voluntary relief." 62 With but few 
exceptions, those applying to charitable organizations as 
union members are found to be expelled members or in 
arrears with their dues. 63 

62 Final Report of the Commission on Industrial Relations, 1915, 

P- 175. 

63 Mr. C. C. Rohr, a member of the Economic Seminary of Johns 
Hopkins University, in 1911-1912 made an investigation of 500 cases 
of the Federated Charities of Baltimore City. The Charity records 
showed that of the 500 applicants 19 were members of trade unions. 
Upon investigation, however, nine of these were found never to have 
been associated with any union. And of the remaining ten only two 
were union members in good standing at the time when the period 
of unemployment began. One of these was unable to live upon the 
strike benefits of his union, and the other was a member of a local 
union on strike which had expended its entire strike fund. 



INDEX 



American Federation of Labor, 
15, 5i, 52, 53, 70, 93, 123, 130, 
137-138, 146. 

American Tinplate Company, 
119. 

Apprenticeship, 36-37. 

Bakers and Confectioners of 
Chicago, 62. 

Bakery and Confectionery 
Workers' International Union, 
64, 67, 84, 120, 124, 140, 143. 

Balsinger, President, 84. 

Barbers' International Union, 
Journeymen, 64. 

Barnes, Charles E., 33. 

Barnett, George E., 44, 108, 124 
(note), 140 (note). 

Benefits. See Insurance. 

Beveridge, W. H., 19. 

Blacksmiths and Helpers, In- 
ternational Brotherhood of, 
59, 67, 84, 123, 144, 145. 

Boilermakers, Iron Shipbuilders 
and Helpers of America, In- 
ternational Brotherhood of, 
15, 60, 123, 129, 144, 145. 

Bookbinders, International 
Brotherhood of, 82, 87, 91, 120, 
144. 

Boot and Shoe Workers' Union, 
87, 120, 141, 143. 

Boston Free Employment Office, 

Brandeis, Louis D., 113. 

Brass and Composition Metal 
Workers, Polishers, and Buf- 
fers, United Brotherhood of, 
59- 

Brewery Workmen, Interna- 
tional Union of the United, 39, 
42, 64, 67, 108, 121, 122, 129, 
141, 143, 145. 

Bricklayers, Masons and Plas- 
terers, International Union of, 
17, 42, 54, 65, 84, 86, 87, 88, 90, 
91, 102. 



Bridge and Structural Iron 
Workers, International Asso- 
ciation of, 40, 52, 60, 65, 84, 86, 
87, 89, 90, 93. 

Business agent, 58 ff; salary of, 
59; duties of, 60; why em- 
ployers apply to, 62-63 ; one of 
the union members, 64. 

" Calling around," 66. 

Cards, interchange of, 42-43. 

Carpenters and Joiners, United 
Brotherhood of, 40, 42,' 52, 59, 
65, 86, 87, 88, 107, 139. 

Carter, President, 82, 107. 

Chicago, Burlington and Quincy 
Strike, 82. 

Chicago, Rock Island and Pa- 
cific Railway, 123 

Cigar Makers, International Un- 
ion of, 32, 58, 67, 69, 86, 90, 94, 
102, 103, 104, 130, 134, 135, 139, 
145, 147. 

Cloth Hat and Cap Makers, 
United, no, 115, 126, 144. 

Commercial Telegraphers, 
Brotherhood of, 42, 120, 144. 

Commisison of Industrial Rela- 
tions, 149. 

Coopers, International Union of, 
87, 120. 

Crown, Cork and Seal Opera- 
tives, 123. 

Diamond Workers' Protective 

Union, 130, I3S-I37, 145- 
Dismissal of workmen, 123 ff. 
Dobbins, Secretary, 96. 
Dobson, Secretary, 17 (note), 85. 
Dovetailing of trades, 30-31. 
Drawing of lots, 68. 
Drayer, Secretary, 86. 
Duffy, Secretary, 139. 
Duncan, President, 52, 56, 96. 
Dunderdale, Superintendent, 71. 

Efficiency of Workmen, 125-126. 



151 



152 



INDEX 



Electrical Workers, Interna- 
tional Union of, 15, 37, 38, 60, 
84, 89, 93, 108. 

Emergency funds, 138. 

Employment, distribution of, 109 
ff. ; ways of distributing, 109- 
124; conditions effecting un- 
ion policies toward, 125-128; 
union objections to, 128-129. 

Employment, subsidiary, 20-21 ; 
varies with the trade, 31 ; 
through help of fellow-work- 
men, 64; through advertise- 
ments, 73-74. 

Employment bureaus, public, 69 
ff. ; state, 69; employers, 73; 
religious and charitable, 73. 

Employment bureaus, union, 57 
ff. ; need of, varies, 58; agen- 
cies for securing help, 58; 
methods of choosing work- 
men, 67 ff. 

" Five day " rule, 123-124. 

" Fliers," 76. 

Flint Glass Workers' Union, 
American, 17, 19, 3.0, 39, 40, 42, 
64, 78, 86, 87, 92, 94, 96, 103, 
104, no, 117, 123, 128, 138, 145. 

Fluctuation, 19 ff. ; remedies for, 
29-31. 

Furuseth, President, 70. 

Garland, President', 84, 119. 

Garment Workers' Union, La- 
dies, 42, 58, no, 112, 123, 126, 
144. 

Garment Workers, United, 42, 
58, 87, no, 114. 

Glass Bottle Blowers' Associa- 
tion, 16, 42, 76, 119, 123, 138. 

Glass Workers' International 
Association, Amalgamated, 122, 
144, 145. 

Glove Workers' Union, Interna- 
tional, no, 115. 

Gompers, Samuel, 52, 53, 70, 95, 
131. 146. 

Granite Cutters' International 
Association, 52, 54, 56, 75, 87, 
94, 95, 103, 140, 145, 146. 

Hatters of North America, 

United, 66, 67, no, 115, 145. 
Hayes, President, 77, 120. 



Hays, Secretary, 83. 

Hotel and Restaurant Em- 
ployees' International Alliance, 
72, 144. 

Hurst, President, 131. 

Iffland, Secretary, 143. 

Illinois Free Employment 
Agency, 71. 

Indiana Typographical Confer- 
ence, 88. 

Industrial depressions, effect of, 
28-29. 

Insurance, national unions hav- 
ing, 130-141 ; systems in local 
unions, 141-144; indirect form 
of, 145-146; reasons for not 
having, 146-147 ; campaigns 
for government, 147. 

Iron, Steel and Tin Workers, 
Amalgamated Association of, 
84, no, 118, 123, 140. 

Journals, 86 ff. 

Kelley, President, 49, 51. 
Kunzler, Secretary, 96. 

Labor supply, methods of ad- 
justing, 75-76; systems in dif- 
ferent unions, 76-90; failure 
to solve problems, 90-92; hin- 
drances in the movement of, 
107. 

Lace Operatives, Chartered So- 
ciety of the Amalgamated, 120, 

144. 

Lathers, International Union of 
Wood, Wire and Metal, 86. 

Laundry Workers' International 
Union, 120. 

Lawlor, Martin, 67 (note), 115. 

Lawrence, Vice-President, 88. 

Leather Workers on Horse 
Goods, United Brotherhood 
of, 83, 87, 94, 99, 103, 104, 120, 
145. 

Lithographers' International Pro- 
tective and Beneficial Associa- 
tion, 15, 58, 64, 67, 79, 88, 94, 
100, 120, 126, 140, 143, 145. 

Lloyd, President, 139. 

Locomotive Engineers, Grand 
International Brotherhood of, 
45- 



INDEX 



153 



Locomotive Firemen and En- 
ginemen, Brotherhood of, 81, 

145. 
Lots, drawing of, 68. 
LjTich, President, 45, 83, 88, 140. 

McGuire, P. ]., 52, 139. 

Machinists, International Asso- 
ciation of, 39, 40, 47, 59, 60, 67, 
94, 99, 103, 123, 129, 145. 

Maintenance of Way Employees, 
International Brotherhood of, 

.42. 

Marble Workers, International 

Association of, 92. 
Maryland Federation of Labor, 

71. 

Massachusetts Bureau of Sta- 
tistics, 12, 21, 25. 

Massachusetts Employment Bu- 
reau, 72. 

Membership, limited, 35-36. 

Metal Polishers, Buffers, Plat- 
ers, Brass Molders and Brass 
and Silver Workers, Interna- 
tional Union of, 15, 54, 59, 120, 
123, 141, 145, 146. 

Miller, Secretary Hugo, 101, 135. 

Mine Workers, United, 42, 67, 
no. 

Miners, Western Federation of, 
42, no, 145. 

Mitchell, John, in. 

Molders' Union, International, 
15, 59, 86, 120, 123, 129, 145. 

Murphy, President, 38, 108. 

New England Typographical 
Union, 88. 

New Hampshire Bureau of La- 
bor, 14. 

New York Department of La- 
bor, 10, 13 (note), 14 (note), 
21, 25, 32. 

New York Public Employment 
Bureau, 71. 

Normal day, shortening of, 50- 
53. 

Northern Pacific Railroad, 45- 
46. 

O'Connell, President, 51, 100. 
Out-of-work list, compulsory, 

67; optional, 67. 
Output, restriction of, 46-50. 
Overtime, regulation of. 54-56. 



Painters, Decorators, and Paper- 
hangers, Brotherhood of, 16, 
42, 52, 60, 87, 88, 91, 101, 107, 
140. 

Paper Makers, International 
Brotherhood of, 120. 

Pattern Makers' League, 17, 21, 
28, 59, 60, 62, 67, 81, 120, 123, 
140, 144, 145. 

Perkins, President, 104. 

Permit system, 37-41; effect on 
transference of workmen, 108. 

Pieiffer, Secretary, 84. 

Photo-Engravers' Union, Inter- 
national, 36, 54, 64, 67, 79, 87, 
120, 141, 144, 145. 

Piano, Organ and Musical In- 
strument Workers' Interna- 
tional Union, 145. 

Plasterers' International Asso- 
ciation, Operative, 40, 42, 86. 

Plumbers, Gas Fitters, Steam 
Fitters and Steam Fitters 
Helpers' United Association 
of Journeymen, 15, Z7, 41, 48, 
51, 86, 102, 140. 

Potters, International Brother- 
hood of Operative, 15, 64, 80, 
116, 141. 

Prescott, President, 139-140. 

Printers. See Typographical 
Union. 

Proebstle, 39 (note), 122, 143 
(note). 

Pulp, Sulphite and Paper Mill 
Workers, International Broth- 
erhood of, 145. 

Railroad Telegraphers, Order 
of, 42. 

Railroad Trainmen, Brotherhood 
of, 82. 

Railway Carmen, Brotherhood 
of, 42. 

Railway Conductors, Brother- 
hood of, 82. 

Rock Island Federated Trades. 
123. 

Rotation of workers, 120-123. 

Rowe, President, 40. 

Sanitary Manufacturing Potters' 

Association, 116. 
Seamen's Union, International. 

67. 
Sears, Mr.. 71. 



154 



INDEX 



Seniority rights, 43-46; objec- 
tions to, 44; defense of, 44- 
45 ; effect on transferring of 
workmen, 107. 

Sheet Metal Workers' Interna- 
tional Alliance, Amalgamated, 
67, 86, 88, 123. 

Sheppard, President, 82. 

" Shop collector," 64. 

Short, President, 41. 

Short-time, working of, noff. 

" Six-day-law," 55, 124. 

Skemp, Secretary, 16 (note), 91. 

Smith, President, 117. 

Spinners' Union, International, 

54, 144. 

Stationary Firemen, Interna- 
tional Brotherhood of, 42. 

Statistics, 9 ff . ; sources of, 10; 
of New York Department of 
Labor, 12; of the Massachu- 
setts Bureau, 12-14; of New 
Hampshire Bureau of Labor, 
14; reasons for failure to col- 
lect, 14-15 ; unions that col- 
lect, 15-20; factors overlooked 
in, 20-21 ; conclusions drawn 
from, 23 ff. 

Steam Engineers, International 
Union of, 42. 

Steam, Hot Water and Power 
Pipe Fitters and Helpers, In- 
ternational Association of, 36, 
4i. 

Steam Shovel and Dredge Men, 
International Brotherhood of, 
72. 

Stcne Cutters' Association, 
Journeymen, 81, 86. 

Stove Mounters' International 
Union, 84, 120, 145. 

Strasser, President, 131 

Street and Electric Railway Em- 
ployees, Amalgamated Asso- 
ciation of, 120. 

Tailors' National Union, Jour- 
neymen, no, 114. 

Teamsters, International Broth- 
erhood of, 42, 59. 

Textile Workers, United, no, 

Trades, dovetailing of, 30-31. 
Traveling, statistics of, 25; ex- 
penses for, 93. 
Traveling loans, failure of, 94; 



national unions having, 95- 
102; local unions having, 102- 
103; cost of, 104. 

Typographia, Deutsch-Ameri- 
kanische, 64, 84, 94, 101, 103, 
104, 130, 133, 134, 135, 139. 

Typographical Association of 
New York City, 141-142. 

Typographical Union, Interna- 
tional, 43, 44, 47, 55, 67, 71, 87, 
88, 102, 108, 124, 129, 139, 140, 
141, 142, 145, 147. 

Unemployment, in different lo- 
calities, 23 ff . ; relative volume 
and character of, 28; methods 
of relieving, 29; remedies for 
seasonal, 31 ; union theory of, 

34 ff- 

Unions, realizing benefit of sta- 
tistics, 15 ; methods of reliev- 
ing unemployment, 29; atti- 
tude toward amount of work, 
34; importance of headquar- 
ters of, 65; methods of adjust- 
ing labor supply, 76 ff. ; failure 
to solve problem of transfer- 
ring members, 90; paying 
traveling loans, 94; policy 
toward distribution of em- 
ployment, 109 ff. ; conditions 
effecting policy of, 125; objec- 
tions to distribution of em- 
ployment, 128-129 ; relief agen- 
cies in, 148. 

LTnited States Potters' Associa- 
tion, 116. 

Universal Card System, 43. 

Voitle, President, 39. 

Watch Case Engravers' Interna- 
tional Association, 123. 

White Rats Actors' Union, 94, 
98, 103. 

Wilson, James, 21 (note), 22, 81 
(note). 

Wisconsin State Federation of 
Labor, 15, 50 (note). 

Woll, President, 54, 80. 

Wood Carvers' Association, In- 
ternational, 16, 86, 144. 

" Work fund " theory, 35, 42. 

Workmen, dismissal of, 123 ff. ; 
efficiency of, 125-126. 



VITA 

David Paul Smelser was born in New Windsor, Mary- 
land, October 5, 1894. He received his elementary educa- 
tion in private schools. In 1912 he received the degree of 
Bachelor of Arts from New Windsor College. He entered 
the Johns Hopkins University in 1912, pursuing graduate 
courses in Political Economy, Political Science and Mathe- 
matics. He was Fellow in Political Economy in 1915-1916. 
He received the degree of Doctor of Philosophy in 1916. 



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